The URL can be used to link to this page

Home My WebLink About1989-02-13 Public Hearing and Regular Meeting• s MINUTES OF THE PUBLIC HEARING AND REGULAR MEETING LA PORTE CITY COUNCIL FEBRUARY 13, 1989 1. The meeting was called to order by Acting Mayor Pro Tem Betty Waters at 5:30 P.M. Members of City Council Present: Mayor Norman Malone (arrived at 5:40 P.M.), Councilpersons Betty Waters, Mike Cooper, Ed Matuszak (arrived at 5:34 P.M.), Alton Porter (arrived at 5:37 P.M.), Mike Shipp, Deotis Gay, B. Don Skelton (arrived at 5:45 P.M.), Jerry Clarke Members of City Council Absent: None Members of City. Staff Present: City Manager Bob Herrera, City Attorney Knox Askins, City Secretary Cherie Black, Assistant City Manager John Joerns, Assistant to the City Manager Janie Bais, Purchasing Manager Louis Rigby, Director of Public Works Steve Gillett, Director of Community Development Joel Albrecht, Finance Director Jeff Litchfield Others Present: Melissa Doyle, Bayshore Sun; 10 citizens 2. The invocation was given by City Attorney Knox Askins. 3. Council considered approving the minutes of the regular meeting of Council held January 23, 1989. Motion was made by Councilperson Clarke to aRprove the January ~~ minutes as presented. Second by Councilperson Cooper. The motion carried, 5 ayes and 0 nays. Ayes: Councilpersons Cooper, Shipp, Gay, Clarke and Acting Mayor Pro Tem Waters Nays: None (The other Councilpersons had not yet arrived at the meeting.) At this time, the order of the agenda was suspended in order that the scheduled public hearing could be postponed until its proper starting time. Council then addressed item 6. Ms. Karen Zenk addressed Council regarding parking of 18-wheel trucks on Underwood at Rustic Gate. She is concerned about Minutes, Public Hearing and Regular Meeting La Porte City Council February 13, 1989, Page 2 the safety factor involved. She requested that no parking signs be placed at this location and that violators be ticketed. 5. Council then adjourned into executive session at 5:37 P.M. to discuss the following items: A. Report from the City Manager regarding Wellness Center; B. Discussion with Attorney regarding Houston Chemical Services, Inc. Council returned to the table at 7:05 P.M. and the meeting was reconvened by Mayor Malone. Mayor Malone excused Councilperson Matuszak, Councilperson Clarke and himself from the meeting and Mayor Pro Tem Porter took the chair. ~4. Mayor Pro Tem Porter called the public hearing to order, to consider the request of the Jennie Reid Estate, represented by Mrs. Judy Berry, executrix, to rezone an 18.7766 acre tract (parts of tracts 22 and 23 of Enoch Brinson Survey, Abstract 4~5) from B.I. (Business Industrial) to L.I. (Light Industrial) Director of Community Development Joel Albrecht reviewed the request. Mrs. Judy Berry addressed Council in favor of the rezoning. Tommy L. Gardner, 11918 Avenue P, addressed Council in opposition to this rezoning. Mr. Gardner felt that there was not a sufficient buffer zone between the property in question and his property. The recommendation of the Planning and Zoning Commission was read, which was to approve the rezoning. The Mayor Pro Tem declared the public hearing closed. 6. Item 6 had already been addressed. 7. Council considered an ordinance rezoning 18.7766 acre tract out of tracts 22 and 23 of Enoch Brinson Survey, Abstract 4~5. i • Minutes, Public Hearing and Regular Meeting La Porte City Council February 13, 1989, Page 3 Motion was made by Councilperson Skelton to accept Planning and Zoning and staff recommendation for rezoning and adopt Ordinance 1501-G. Second by Councilperson Gay. The City Attorney read: ORDINANCE 1501-G - AN ORDINANCE AMENDING ORDINANCE N0. 1501, BY CHANGING CLASSIFICATION OF THAT CERTAIN PARCEL OF LAND HEREIN DESCRIBED; AND PROVIDING AN EFFECTIVE DATE HEREOF. The vote was then taken, and the motion carried, ~4 ayes and 2 nays. Ayes: Councilpersons Shipp, Porter Nays: Councilpersons Waters Gay, Skelton, and Mayor Pro Tem and Cooper 8. Council considered an ordinance closing "I" Street. This ordinance had been previously tabled by Councilperson Waters at the Dec. 12, 1988, meeting. Motion was made by Councilperson Waters to bring this ordinance back to the table. Second by Councilperson Shipp. Director of Community Development Joel Albright reviewed the alley closing request. The City Attorney read: ORDINANCE 1628 - AN ORDINANCE VACATING, ABANDONING AND CLOSING A PORTION OF WEST "I" STREET; ABANDONING PUBLIC UTILITY EASEMENTS; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. Motion was made by Councilperson Waters to adopt Ordinance 1628 as read by the City Attornev. Second by Councilperson Cooper. The motion carried, 6 ayes and 0 nays. Ayes: Councilpersons Waters, Cooper, Shipp, Gay, Skelton and Mayor Pro Tem Porter Nays: None 9. Council considered an ordinance establishing hazardous waste incinerator siting requirements. Minutes, Public Hearing La Porte City Council February 13, 1989, Page • and Regular Meeting 4 Motion was made }zY Councilperson Waters to table this ordinance. Second by Councilperson Skelton. The motion carried, 6 ayes and 0 nays. Ayes: Councilpersons Waters, Cooper, Shipp, Gay, Skelton and Mayor Pro Tem Porter Nays: None 10. Council considered a resolution consenting to matters relating to a proposed bond issuance by the La Porte Area Water Authority. The City Attorney read: RESOLUTION 89-1 - A RESOLUTION CONSENTING TO MATTERS RELAT±NG '1`0 A. PROPOSED BOND ISSUANCE BY THE LA PORTE AREA WATER AUTHORITY; PROVIDING FOR A SEVERABILITY CLAUSE; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING FOR AN EFFECTIVE DATE HEREOF. Motion was made by Councilperson Skelton to adopt Resolution $9-1 as read by the City Attorney. Second by Councilperson Waters. The motion carried, 6 ayes and 0 nays. Ayes: Councilpersons Waters, Cooper, Shipp, Gay, Skelton and Mayor Pro Tem Porter Nays: None 11. Council considered an ordinance consenting to the issuance and sale of bonds by the La Porte Area Water Authority, being Contract Revenue Bonds, Series II 1988, in the aggregate principal amount of $4,800,000. The City Attorney read: ORDINANCE 1635 - AN ORDINANCE CONSENTING TO THE ISSUANCE AND SALE OF BONDS BY LA PORTE AREA WATER AUTHORITY; PROVIDING FOR A SEVERABILITY CLAUSE; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING FOR AN EFFECTIVE DATE HEREOF. Motion was made by Councilperson Waters to adopt Ordinance 165 as read bX the City Attorney. Second by Councilperson Skelton. The motion carried, 6 ayes and 0 nays. Ayes: Councilpersons Waters, Cooper, Shipp, Gay, Skelton and Mayor Pro Tem Porter Nays: None Minutes, Public Hearing La Porte City Council February 13, 1989, Page C and Regular Meeting 5 12. Council considered a resolution approving La Porte Area Water Authority's award of bid for construction of surface water transmission lines. The City Attorney read: RESOLUTION 89-2 - A RESOLUTION CONSENTING TO ENTRY INTO A CONTRACT BETWEEN THE LA PORTE AREA WATER AUTHORITY AND MERCER CONSTRUCTION COMPANY, INC.; PROVIDING FOR A SEVERABILITY CLAUSE; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. Motion was made tZy Councilperson Gay to adot~t Resolution 89-2 as read bk the City Attorney. Second by Councilperson Waters. The motion carried, 6 ayes and 0 nays. Ayes: Councilpersons Waters, Cooper, Shipp, Gay, Skelton and Mayor Pro Tem Porter Nays: None 13. Council considered approving an Interlocal Agreement with Houston-Galveston Area Council for purchase of vehicles. Motion was made by Councilperson Waters to approve the Interlocal 1~greement with H GAC for purchase of vehicles. Second by Councilperson Cooper. The motion carried, 6 ayes and 0 nays. Ayes: Councilpersons Waters, Cooper, Shipp, Gay, Skelton and Mayor Pro Tem Porter Nays: None 14. Council considered awarding a bid for water and sewer supplies. Motion was made by CouncilQerson Skelton to award Sec C and D in the amount or $j5,-ryS.li Lo t~olaen lr-ldi~~C r~-,~. and Sections B and E in the amount of $10,226.28 to the Rohan Companv. Second by Councilperson Cooper. The motion carried, 6 ayes and 0 nays. Ayes: Councilpersons Waters, Cooper, Shipp, Gay, Skelton and Mayor Pro Tem Porter Nays: None • • Minutes, Public Hearing and Regular Meetings La Porte City Council February 13, 1989, Page 6 15. Administrative Reports: City Manager Herrera passed a poster advertising the 9-1-1 golf tournament for Council to see. 16. Council Action: Councilpersons Cooper, Gay, Skelton and Mayor Pro Tem Porter brought items to Council's attention. 17. There being no further business to come before the Council, the meeting was duly adjourned at 7:46 P.M. Respectfully submitted: C~~~?/u-ems Cherie Black, City Secretary Passed & Approved this the 27th day of February, 19$9 N an L. Malone, ayor • • REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: February 1~, 1989 Requested By: oel Albrech Department: Community Devel. X Report Resolution Ordinance Exhibits: 1. Staff background report & exhibits 2. Letter of recommendation from Planning & Zoning Commission 3. Rezoning Ordinance ~~1501 G 4. Transparency exhibits SUMMARY & RECOMMENDATION Rezoning~iequest 89-002 Summary: The Jennie Reid Estate, represented by Mrs. Judy Berry, Executrix, has requested a rezoning of their 18.7766 acre tract, from B.I. (Business Industrial) to L.I. (Light Industrial). The property in question occupies parts of tracts 22 and 23 of the Enoch Brinson Survey, Abstract ~~5, and is located on the east side of Sens Road between Hwy. 225 and North "P" Street. The Planning & Zoning Commission held a public hearing on the request of the applicant on the January 26, 1989 meeting, and voted unanimously to recommend granting this request. Rezonings must be approved by City Ordinance. Ordinance 1501 G is an ordinance which grants this rezoning request. Formal action on this request will be taken by either passing or denying this ordinance. Recommendation: Grant rezoning request ~~89-002. Action Required by Council: 1. Hold public hearing to consider rezoning request 89-002. 2. At close of public hearing, consider approving or denying rezoning ordinance 1501 G. Availability of Funds: N/A General Fund Capital Improvement Other Water/Wastewater General Revenue Sharing Account Number: Funds Available: YES NO A r d for Cit Council A enda ~~ ~ . iyB~ R rt T . Herrera DATE i y Manager January 27, 1989 CITY PHONE ( 713) 471 •5020 • OF LA • P. O BOx 1115 Honorable Mayor Norman Malone and City Council City of La Porte RE: Rezoning Request Sg-002 Dear Mayor Hlalone, FORTE • LA FORTE, TEXAS 77571 The Planning and Zoning Commission, on January 26, 19889, in public hearing and regular session, considered rezoning request 89-002. The Jennie Reid Estate, represented by Mrs. Julia Berry, Executrix has requested a rezoning of their 18.7766 acre tract of property from B.I. (Business Industrial) to L.I. (Light Industrial). The property in question occupies parts of tracts 22 and 23 of the Enoch Brinson Survey, Abstract ~f5 and is located on the east side of Sens Road between Highway 225 and North 11p11 Street. After considering staffls background report and public comment, the Commission by unanimous vote, recommended the granting of this request. Respectfully su fitted, J et Graves, Chairman L Porte Planning & Zoning Commission JG/ms • • RE-ZONING REQUEST 89-002 `a'te-'~--e ~ • CIT`r OF LA PORTE • -.• APPLICATION FOR ZOt•IE CHAR?GE REQUEST -----~--------------------..~.-...r..---r..-..--------•~--••--------------~--- Application AIo.: `I - 40 Z OFFICE USE Ot•ILY: Fee:5100.00 ~.~~ Date Received: 1 4 fl Receipt No.: O.6'h Y•Sl~. -(/Site Plan ( ) ?Minor Development Site Plan ( ) 1•lajor Development Site Plan ( ) General Plan ( ) ~ite Plans ,.Submitted on I ,~y~Yq APPLICANT'S NAME. ;, .~_ TC-/VNIc~ ~CI~ ~-S I ~"IC _ _ __ --- -- Address : ~ 1 [J 1_ JC^/yS lC"(1. ~~~ .;Date: ;~N ~ZJ ~~~ .,, Signature OtJPIER' S NAI`1E:; ~ ~NN~ ~ --/4 C~'~ ~ ~ -~~ ~ ~ , ,. Address: _~1~=_~'~ -~~~~~ _ PH: ~~P •. ~ f ,, ,~ ,. ,,. ~:J Et ~, .:: ,, ,, t Legal Description.. of Property ( See Att~ac-hed ;,,,I; AM.THE .0~JNER OF THE HEREIN DESCRIBED ° PROPERTY AND .JOI-~1~/ r"~"`~S~O~1~ IS AUTHORIZED TO FILE THIS P ICATION Ott M BEHALF. T_ -• _ 'Date . ~-~~L~~ Signature Zone ~ Requested Zone Change ~_ SIC No. Proposed Usage lei ~ ~.e ~ ~ ~,:- d OFFICE USE OPILY 1.) Owner(s) of property within 200 ft._ of tract in question: ~V10BLEY INDUST ~AL PAINTERS, iNC. • PAINT/NG • SANDBLASTING • SPEC/A L COAT/NGS January 18, 1989 City of La Porte 604 PI. Fairmont Parkway La Porte, Texas 77571 Reference: 10 to 15 acres/Jennie Reed Estate 225 & 26th Street To Whom it May Concern: We are considering leasing the above mentioned ,property for a storage, lay-down and assembling equipment yard if the City of La Porte would consider rezoning from BI to LI. Due to the expansion of the oetro chemical plants in this area, we feel this property could be used in-this manner. If this gets approved, we would like to discuss a leasing contract. Sincerely: c Jack E. Moble JEM:bm POST OFFICE BOX 596 DEER PARK, TX 77536 PHONE: (713J 470-9120 aE~~~~ Eo .. aAN ~ y ~q~9 N~D~~EM~1j. C~a~' E lmi E.E.O.C. . An Equal Opportunity Employer • • Date: January 18, 1989 Rezoning Request: 89-002 Requested for: Part of tracts 22 & 23 Enoch Brinson Survey Abstract ~~5 (See Exhibit A) Owner: Jennie Reid Estate, Judy Berry, Executrix Change Requested: From Business Industrial (B.I.) to Light Industrial (L.I.) Background: The property in question is located at the southeastern corner of the Hwy 225, Sens Road intersection (see Exhibit A). The tract is comprised of 18.7766 acres. Presently vacant, the property was formerly occupied by an automotive salvage yard. The present B.I. zoning designation was assigned to the property when the City's current zoning ordinance and map were adopted on January 26, 1987. The zoning classification under ordinance 780 was Commercial. As of this date, no specific use has been proposed for this property. The applicant has stated that several prospective tenants have been unable to occupy the property due to the B.I. designation. Analysis: A review of volume II of the Comprehensive Plan reveals that the B.I. designation assigned to this property is the same as proposed by the Comprehensive Plan (see Exhibit B). There have been substantial changes from the zoning classifications orginally proposed for the surronding tracts, as indicated by a comparison between Exhibit B and the City's current zoning map (see Exhibit C). The R-2 and R-3 zones orginally proposed for the area south of the property in question have been eliminated. B.I. and L.I. classifications now dominate in this area. Section 1.1 of the Comprehensive Plan (Volume I) states the purpose of Business Industrial zones is to "buffer heavy industrial activity from residential development...". As originally proposed by the Comprehensive Plan, the section of B.I. zone in question would have served to buffer the adjacent R-2 and R-3 zones primarily from the Southern Pacific tracks and rail yard. The elimination of the R-2 and R-3 zones coupled with no residential development in the area • • has rendered this buffering function unnecessary. The portion of the B.I, zone which projects southward along Sens Road (see Exhibit C) continues to serve this buffering function. A rezoning of this tract would serve to join it to the existing L.I. zones located to the south and to the west, extending along Hwy. 225• The Land Use Map (see Exhibit D) indicates a use base of "Commercial Industrial" for this area. A rezoning would necessitate a change to the Comprehensive Plan. The change would be rather minor given that the underlying use is industrial in nature and the tract of property involved is relatively small. A Light Industrial designation would be in keeping with the pattern of development being seen along the Hwy 225 frontage area. Seven building permits for properties located in this area were issued during 1988. All seven were for the construction of new or expansion of existing L.I. type facillities (see Exhibit E). Exhibit F indicates the zoning configuration which will be created if this rezoning request is approved. Conclusion• The B.I. zoning designation for this tract is no longer necessary for the protection of residential development. The change to the Comprehensive Plan by this rezoning required is relatively minor in nature and is reasonable in light of the emerging development patterns in the area. Recommendation: Grant rezoning request 8g-002 ~ i f ~?• _ I : 'vl fIIN. =pflrNF i `-~ \\\_ 'I .~ ~\` r RNA . ~ yP4CISIC \ 't I~, i • If°f. ° ir••'vf .1 aa.e•' .. ~ \. rW °a .fi" ~ I r ~\(ROgO '\~ Y 1 I ffl fr. ` ~/IIIIIIIINII ~. r `,a....~ .~" r ~a ~ r ` i ~ .r 1 sT,,a WA LLa.fYf ~ \ •... ~.!• ~.y! ;~`/ ` r ; F -- i I ~ I # ~ I I is.r w.Ya.. r. ~ \ ~ I ~ 1 { ~ N aeYr a rr !~ ffra 6a(M ~ ~eoa ` , ~ uxr, V dw ry~ SI I '~'' " ~ I s !7i ~ ° ~ i i ° ' ~ ~ GROSS AREA : Q~ _ ° ~ ' , _. ~-- ~~- j ~I f,:'~µ,•f 4h'n 1 ...f°.'+a.r fr• II 18.7766 ACRES IMIrM a1.R1 1 W ' . s EI I ! anNr. au : • e -.. a .~ 3 ........tr wa,f • ! °I ~ sl N aw+ ~ f.Ra.I A'w,feur..nfw° _ I ° io • raf° im.• ~ 4 Vv a°r w .r I i ~ ~ I L J rl°MaJ. )s ~ , ~ t ° I vaa. ill+.M M.YIm ~l. .. 1 i s Y .• I I ~ ' I rr .` :. , E = i "w ~ ~ it N"ti • - x5i ~ \~ ii I 1: -r--F wi I J I ~; 1 ' iI .~ YIMWJf+ .ff .~f u.,_ fem. ° ; ;I MI~M.~,rl1 I ~r'l ~,.w r ++r e !I ~ 'I 1 I I w..,. _- af••aaw. wosr tug..»a1 NONTN "P" STREET -~-_-_-_y _ - - ~_ iffy. U4a. 4a W+W k. FV^a'1 AI F" W W441 W.af.fr 6W. uf`°T.nf iTY W IN.faf it ff. A: Jrmf fwK fYwNd1 f1.f11NR IY ap fP VN,~rI N- F. L ~~ yak, yyl Mi. ~ 41L Y. ~Ta~..J P fRaL 4uvrada M+w la. M.MVfa~ raur. (-arslaaffr N!n N pWrauMr- • s .( YOaNiol s M.. W nT +u k~ V,°ralr°ryr) fa MMW .fR.°Yl fy-R' ~~.;~~t6lT A . a,.. °M - .°n ~ , rwf • lnf/ prf u wpatidr ' MY fYfY sl Mt MC d M !NI dr. p!.{w,+1i1 MsNr.N.9N +r.F+FwrNr~:y.. twµaaaL ~. '„~'~.~ rff.n+ w o~w ...... fNfrYQYY.fPAV RRUf. WaArAI. A•:..... ..:!!!.. !!!e... Z: a..~ F~p~fvEp Jfal a amp oaf 16.7766 ACRE TRACT rxr ENOCN BRINSON EUR.l1•S ~U PpRTE . X•RRIS COVNT'!.1[k~5 ~---~ }. ,., ~` ~._ :~ ,•- ~.. o~~ . R-2 1 --- --, ~. GC' 'i; ~ ;; ,.` -- ----- PUD • d ~ __ .y_..,, ~ ~~ !' I ~~ -i ~\ k% - ~~~_ -:,gin __-.- .~ ,.., ~~ ±' I ~. ~.:j -:: ~~ i r ,. J :~ :r ;` ~ `~~•~, R- (~..._ ;,~,_i ~u ----- : ~ -_- ~~e' 3 ~ - i d.-.-.-i-.-~- ~ , - ~ ~ .- ~ 1 G "`-- ~ ~' ~:. F,~ 1 yi ~ ~, I i~ y ~k ` , ~ ~ ~ti. ~J ) ~ \ y i `~ \ ,; - ~ =.-- ~' - « *, ~ _~ i '~ :'~ ,~ '':, OFFICIAL ZONING MAP 2 ,,saes*o~ e., TMS IS TO CERTIFY TWIT TW q TIIE R= CFF,CW. ZOMEb MM pEF~ T~ N MtY1Cit E OF - () proEUHCE no. of TIE Crtr of ~wFanTE. tca~a ' `~`L. LEGEND MH MANUFACTURED HOUSING R-t LOW DENSITY RESIDENTUAL R-2 MEDIUM DENSITY RESIOENTUAL R-3 NIGH DENSITY RESIDENTUAL NC NEIGHBORHOOD COMMERCIAL GC GENERAL COMMERCIAL 81 BUSINESS INDUSTRIAL PARK U LIGHT INDUSTRIAL HI HEAVY INDUSTRIAL PUD PLANNED UNR DEVELOPMENT .--~ PARKWAYS -} li '-.il - EXHIBIT ~~~~ ;'~~ + ~~~~ ~ : --- 1 EXHIBIT o teoo aaoo ~~~r ~ . /ERNON G. HENRY & ASSOCIATES NORTH 3CALEINFEET ~ ~ ui ~ _ ° oRr~~ a ~ ,k= ,~ ~i } ~ ~ ~. ~ fir '. - ,k, ~ ,~ ~ ~ -: :1 • t4 ~ ~ , ~j yy ~ - n 1 ~' 1 ti J r , ~ •:r r ~ ~ l { s -,- 7 . ,. ~ ~ ~ ,:4 ~ :. .P: c _.=t3 ° ~, ' ~ ~~ ~ ~~ ~ mfr ~ ~~ ~ ~. y A `c r~ [rr~[~ ~ e ~ O ~ s' YZ'+, t rte .,.~ r '~ :4_ t. T 1 ~ ,~ is '1 ~ , - ~ , _ ~ ~ti ,- ~ '~ ° ,. ~ lh r -----~ i : ~r ~ ~ • c f z' . ~~ '~~' ~`s~. ~ z ~ ,, 1' { ~ ~ i~ ~. ~ {r y kf ~ ~ ~. .~ ~~ f~ ~ ~_ .• A A F' ~p f.Fx~ 'ti '~T qx ~,~r 'k~ pp Yt-"Ft .~ '~~~ .. • it ;w 1 +,K~. y~q~ 4 `,rx t + ~-t, is ' ;~ i 1i fi ~~~ It ~ q: ~, ,a, ~ y o ,, x,w v~• fry.= ~ ~ ti ~~a 1... i~{.r 1 ~''' ;bz t ~~i w p p ...~ °I:: 4_ ~ ~ 1 r ~.~~_ ~K~~ is°b,-~ ~ ~~, . ~~ r - ~ ,, ~: .r ~ ry .. Y .N ~ ~ r ~l A ~ Y~~ - • ~ ~ " i ~; • i r ~ _ ~ ~ r Al{.~AO ~~~~ v ~ r ~ t v: ~ r ~ a ~ :t {~ ~.~<. ,x, :,, rar, ~~ / a .. ,~! YIIKt , ' ~ Y ~ r+~, ' + { s' %'r'~ EXHIBIT C __ . . ~ _. 1. ~~ IV ~, .. ..:~a_ .~~ - ~o _•~_ ~ -~ I =i== o a ~.. o _.::_ °o • _ °o t ~t .. .:; ~ .r ..; + I Z o D . I o ~ cn 3 . IV `.~ ~ ~: r ,,D . ~ ~^~~ ~ ,- ~ r rn ~~ c , ~ :: n`~ .. `;K ~ ~ I ~:~ ~ ~ I s +~ ~ ~ D ... , D • ~ Z rear ~: ~ C ~ ,; ~ `. T "jff~j~ ~ ~ • • • • ff .•.•.'••••••f. ..... ... '"~" H1B1T ~ D C c ,.::1 ',y A~ ~•• ~~ .~ ~/ ~ U~ O V' •i • ~, . i J f If YIR[I - • -- • • RE-ZONING EXHIBIT January 26, 1989 Listed below are building permits issued for construction located in the reference Light Industrial zone during 1988. Hiekham Industries 11518 Old La Porte Road I. W. II, Inc. 11730 Old La Porte Road Permit #1041 New Office/Shop Building Valuation: $250,000.00 Permit #1016 Contained Facility Valuation: Sandblast $50,000.00 Permit #972 New Office/Shop Building Valuation: $450,000.00 Permit #1025 Building Addition Valuation; $30,000.00 Permit #969 Build out of existing shell Valuation: $30,000.00 I. W. II, Inc. 11716 Old La Porte Road All Waste, Inc. 11110 Old La Porte Road TOTAL VALUATION: Permit #815 New Office/Shop Building Valuation: $150,000.00 Permit #956 Building Addition Valuation: $30,000.00 $990,000.00 There is additionally another building permit awaiting issuance. This permit is for a $12,000.00 building addition for the ALL WASTE truck wash facility located at 11110 OLD LA PORTE ROAD. If this project is factored into the above total, new construction valuation in this area for the last 13 months equals $1,002,000.00. BXHIBIT ~ iC 1 ul ~ ~ ~ ~ ~' ~ .. ~a ~~ NvRT ~~ o ~ 4 V Air sr. ~ ~,,, , r- x a S '~"' ~ ALrr oR. w R uclc t. o ~ w ~' • w N ^ ~ ~ \ a ~ ~ ~ • • u m• a _ - _ LOIIAIf 011. r ~ ~ ~ ~ ~ ; ~ 1 q~q N ' y ,~ ~ Al \ H t ~ r y ~ ~ ~ ~ ~ , \ ~ N ~ N y 11AL CrY1tiY ~ p \ _~ ~~tL _~ S sN ~_ r ~ LA [ ~ s ~ r M + ~ I M ~ ~ a ~ ~ ... ~ a LOOM / L ~ ~' ~ ~ ~ ~ TRAY) ~ ~~ y Z YJ = ~ ~ • ~ q '. lF1 ~ ~ NN i ~~[[ r ii yg~ ~ i ~ ~ yy[~ ~ O RS yy!i i i'i ~ ~ . x g ~ g v u o + / 1 ~ vV • . m m g a fq i5 ^ • • J ail spy W ' ~r . C x E g • RAILROAp rARo z - y u( Ex~-1(Bt1' ~ ~ /~ • ~/ tt YIRt7 ~ • • r r C • • ORDINANCE N0. 1501-G AN ORDINANCE AMENDING ORDINANCE N0. 1501, BY CHANGING CLASSIFICA- TION OF THAT CERTAIN PARCEL OF LAND HEREIN DESCRIBED; AND PROVIDING AN EFFECTIVE DATE HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section 1. The City Council of the City of La Porte hereby finds, determines and declares that heretofore, to-wit, on the 26th day of January, 1989, at 7:00 p.m. a Public Hearing was held before the Planning & Zoning Commission of the City of La Porte, Texas, pursuant to due notice, to consider the question and the possible reclassification of the zoning classification of the hereinafter described parcels of land. There is attached to this Ordinance as Exhibit "A", and incorporated by reference herein and made a part hereof for all purposes, a copy of "Notice of Public Hearing" which the City Council of the City of La Porte hereby finds was properly mailed to all owners of all properties located within two hundred feet (200') of the properties under consideration. Section 2. The Publisher's Affidavit of Publication of not- ice of said hearing is attached hereto as Exhibit "B", incorporated by reference herein and made a part hereof for all purposes. Section 3. Subsequent to such public hearing, the City of La Porte Planning & Zoning Commission met in, regular session on January 26, 1989, to consider the changes in classification which were the subject of such public hearing. The City Council of the City of La Porte is in receipt of the written recommendations of the City of La Porte Planning and Zoning Commission, by letter dated January 27, 1989, the original of which letter is attached hereto as Exhibit "C", incorporated by reference herein and made a part hereof for all purposes. Section 4. On the 13th day of February, 1989, at 6:00 P.M., a public hearing was held before the City Council of the City of La Porte, pursuant to due notice, to consider the question of the possible re-classification of the zoning classification of the hereinafter described parcels of land. There is attached to this Ordinance as Exhibit "D", incorporated by reference herein and made a part hereof for all purposes, a copy of the "Notice of Public ~~ Hearing" which the City Council of the City of La Porte hereby • Ordinance 1501-G, Page 2 finds was properly mailed to the owners of all properties located within two hundred feet (200') of the properties under considera- tion. Section 5. The Publisher's Affidavit of Publication of notice of said hearing is attached hereto as Exhibit "E", and incorporated by reference herein and made apart hereof for all purposes. Section 6. Subsequent to such public hearing, the City Council of the City of La Porte reviewed the written recommenda- tions of the City of La Porte Planning and Zoning Commission, and all of the evidence presented before it, and the City Council of the City of La Porte hereby accepts the recommendation of the .City of La Porte Planning and Zoning Commission, and the zoning clas- sification of the hereinafter described parcels of land, situated within the corporate limits of the City of La Porte, is hereby changed and the zoning classification of said parcel of land shall hereafter be "LI-Light Industrial". The description of said parcels of land re-zoned are as follows, to-wit: 18.7766 acres in the Enoch Brinson Survey,, Abstract #5, City of La Porte, Texas, more particularly described on Exhibit "F", attached hereto and fully incorporated by reference herein. Section 7. The City Council officially finds, determines, recites and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City for the time required by law preceding this meeting, as required by the Open Meetings Law, Article 6252-17, Texas Revised Civil Statutes Annotated; and that this- meeting has been open to the public as required by law at all times during which this ordinance and the subject matter thereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. Section 8. This Ordinance shall be effective fourteen (14) days after its passage and approval. The City Secretary shall give • • Ordinance 1501-G, Page 3 notice of the passage of this ordinance by causing the caption hereof to be published in the official newspaper in the City of La Porte at least twice within ten (10) days after the passage of this ordinance. PASSED AND APPROVED this day of , 1989. CITY OF LA PO RTE _ By: Norman Malone, Mayor ATTEST: By: Cherie B1ack,City Secretary APPROVED: By : l~ . _ Special Counsel City of La Porte • • STATE OF TEXAS ~~ COUNTY OF HARRIS ` CITY OF LA PORTE NOTICE OF PUBLIC HEARING In accordance with the provisions of Ordinance 1501, the City of La Porte Zoning Ordinance, notice is hereby given that the La Porte Planning and Zoning Commission will conduct a public hearing at 7;00 P.M. on the 26th day of January, 1989, in the Council Chambers of the City Hall, 604 West Fairmont Parkway, La Porte, Texas. The purpose of the Public Hearing is to consider the request of Julia Berry, Executrix, Jennie Reid Estate, to rezone part of tracts 22 and 23, Enoch Brinson Survey, Abstract ~5, from Business Industrial (BI) to Light Industrial (LI):•' A regular meeting will be held following the public hearing for the purpose of acting upon the public hearing item and conduct other matters pertaining to the Planning and Zoning Commission. Citizens wishing to address the Commission pro or con during the Public Hearing will be required to sign in before the meeting is convened. CITY OF LA PORTE Cherie Black City Secretary ',~ ~.~ CJ ., ~.- ,~ PUBLIC NOTICE NOTICE OF .rp~,LBLIG+HEARING In accordance with the provisions of Ordinance 1501, the City of La Porte Zon- ing Ordinance, notice is hereby given that the La Porte Planning and Zoning Com- mission will conduct a public hearing at 7:00 P.Dif;. on the 26th day of January, 1989, in the Council Chambers of the City Hall, 604 1Nes Fairmont Parkway, La Porte, Texts. '}'he purpose of the Public Hearing is to c~nstder the request of Julia Berry, Execu~ix, Jennie Reid Estate, to rezone part of tracts 2? and 23, Enoch Brinson Survey, AbstracE #5, from Busi- ness Industrial (BI) to Ligk>!t Industrial (LI). A regular meeting will bq, held following the public hearing (or the purpose of act- ingupon the public hearing item and con- duct other matters pertaining to the Plan- ning and Zoning Commission. Citizens wishing to address the Com- missionpro orcon during the Public Hear- ing will be required to sign in before the meeting is convened. CITY OF LA PORTE _~,y:. a',~,: `V F=? .. .'; q,, ~N :.,~ ,~ .~Y rN~1 ~ 3. .~ ~ F ~ oice Of Tfie ~ays~e ince 1947 La Porte; Tezas 77571 (713) 471-1234 ~U~1 Cherie Black ' City Secretary ~ ~ he undersigned authority, on this date '. came and appeared Sandra E. Bumgarner, duly authorized agent of The Bayshore Sun, a semi-weekly newspaper published in La Porte, Harris County, Texas, and who after being duly sworn, says the attached notice was published in The Bayshore Sun of January ~i, 1989 Sworn and subscribed before me this ,.3 / day of G A.D. 19~. /,, ~iL.t-,.-tom ~ /l . _~-~CQi..~.,,..,o Notary Public . Harris County, Texas ••••,.•••••^••••~.,,,, A' a .....,,, ~ ~,, ,~~~•• Ot •• d+ ; ~ ~ w 1~ T ~ .•' ~. • • ~~ .~ January 27, 1989 CITY PHONE ( 713) 471 •5020 OF LA FORTE • P. O BOX 1115 • LA FORTE, TEXAS 77571 Honorable Mayor Norman Malone and City Council City of La Porte RE: Rezoning Request SG-002 Dear Mayor rlalone, The Planning and Zoning Commission, on January 26, 19889, in public hearing and regular session, considered rezoning request 89-002. The Jennie Reid Estate, represented by Mrs. Julia Berry, Executrix has requested a rezoning of their 18.7766 acre tract of property from B.I. (Business Industrial) to L.I. (Light Industrial). The property in ciuestion occupies parts of tracts 22 and 23 of the Enoch Brinson Survey, Abstract ~5 and is located on the east side of Sens Road between Highway 225 and North 11P1' Street. After considering staff's background report and public comrnent, the Commission by unanimous vote, recommended the granting of this request. Respectfully su )fitted, J et Graves, Chairman L Porte Planning & Zoning Commission JG/ms • ~ . ~.~ sr STATE OF TEXAS COUNTY OF HARRIS CITY OF LA PORTE NOTICE OF PUBLIC HEARING In accordance with the provisions of Ordinance 1501, the City of La Porte Zoning Ordinance, notice is hereby given that the La Porte City Council will conduct a public hearing at 6:00 P.M, on the 13th day of February, 1989, in the Council Chambers of the City Hall, 604 West Fairmont Parkway, La Porte, Texas. The purpose of the Public Hearing is to consider the request of Julia Berry, Executrix, Jennie Reid Estate, to rezone part of tracts 22 and 23, Enoch Brinson Survey, Abstract 4~5, from Business Industrial (BI) to Light Industrial (LI). -- A regular meeting will be held following the public hearing for the purpose of acting upon the public hearing item and conduct other matters pertaining to the City Council. Citizens wishing to address the City Council pro or con during the Public Hearing will be required to sign in before the meeting is convened. CITY OF LA PORTE Cherie Black -= City Secretary • • f~ ~ NOTICE OF PUBLIC HEARING In atR.ordance with the provisions of Ordinance 1501, the City of La Porte Zon- ing Ordinance, notice is hereby given that the La Porte City Council will conduct a public hearing at 6:00 p.m. on the 13th day of ebru, ry, 1989, in the Counal Chambe s of a City Hall, 604 West Fair- mont Pa wa , La Porte, Texas. The pur- pose of tt(e blic Hearing is to consider the request o Julia Berry,..Executrix, Jen- nie Reid Estate, to.,fezonb par~of tracts 22 and 23, Enodt Brinson Su y, Abstract #5, from Bu;iness Industrial I) to Light Industrial (LI). r'-~ .: A regular meetfri~~Will be he following the public hearing'ior the purpose of act- ing upon the hearing item and conduct other matters pertaining to City Counal. Citizens wishing to address the City Council pro or con during the Public Hear- ing will be required to sign in .before the meeting is convened. ~~ 1'< `V ]i.a Porte,: Texas 77571 (713) 471-1234 re Sum 1947' CITY OF LA PORTE Cherie Black City secretary he undersi ned authorit :. ; ~ ~__:. g y, on this date came and appeared Sandra E. Bumgarner, duly authorized .agent of The Bayshore Sun, a semi-weekly newspaper published in La Porte, Harris County, Texas, and who after being duly sworn, says the attached notice was published in The Bayshore Sun of January 29, 1989 . Sandra E. Bumgarner Office Manager Sworn an subscribed before me this .3/ day off- a A.D. 19~. Notary Public . ............ Harris County, Texas ,••••.••``1~. S<~~r ,• ` Jy.. t~- •~~ • ~._ .. i ~ ~~` ~~, ~ i a9"" - w.. ao~t"~" I ° ., I ` . '~ rw ~f~ ~- I ~ ~ I ~~y . . ~ . _ ~ ` J .•..u.• .y. I ~ +i iy ~ i~ 1 ~ w ++•. r r,.... ~~! I I ~ ;, uM 1 • y ' ~ Wr~v M,Y~.a f +- rn I I I ,wl • - I~ 3 a ~~ ~ ~; ' ~ ~ I I .. _ I ^r•r•r't ~oo• . 4 ~ y II GRO58 IREA I 1 ' ~ _. n ` ' ~.;.:..... _ _ 1 • v5'.. I ..~~. ___ ._ ... I ~ ~` F I 1 il i ~~- ~, I•• 1~ 18.7766 ACRES ~ I (wi.+7 h wJ 1 , ~ ~ ' s -1 I ~ ..... j j ~ ~~ I . w., ~ , - - (v.. N.w 1 : ~ : I iv . ulr a..~ ,f ~ w+r.l w.•v.e.r•r.r~ r ~ i ~ 1 ..I ti ~ T.. • ' I I . , 1 w ' 'i ,.% s.r ~ ~ l . • ~ t I w ` W ' w ~ ~ ( .. ... / _ ^-F i 1 1 i ' ~ III _ 11 uurr M.+.'w.oWl.. •.Y E ~ •I ~••r r ti w~.i ~;lw wx(rrr r. ._ i~ :I :' ~ t 11fLL Iwiw• M•- MAW w. E.'tM ~ A •4N. FI •W.FaV iL uw:vaf •:. 4 IMd rl w. M.WWMr4a1 w.w W yM,rt tiw L1Y. Mrf• WA Nw.• M. M,wl1 V NI. .N.I~I Irw4I wr..a w rN....r• • ~.~/..orn~u s ww,a., In..ro ~. w 4 J+M wM L W~ W+•WsNM. r.".«'~ ~"LI. ~ 1, ~i+N Y Nw Mt •{ WNW 1r.~w MY ulR•1 Yvr iwayw twlul.~ ++.ww.w i..uMN+w1•.> IrWw•L w•sl. 1•~1'•,•Q• TernEMw.NO MS M+wrtt .... ...Q.. • - Zti~<.N. • [EGtW(e Y"~ta~ Oa W 18.7788 ACRE TRACT ' rw. • • u rwrE.lu"^m couNTT.iEEU _ 1~ .a .CAA±OS•SMITM _. r --- ,-~.. w i • REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested:_ February L3; 1959 Requested By: Joel Albrec t epartment:Community Development Report Resolution XX Ordinance Exhibits: 1) Application from Fred Westergren & Bayshore National Bank 2) Letters from Franchise Utilities 3) Memo from Public Works 4) Utility Verification 5) Map of Street Requesting to be Closed SUMMARY ~ RECOMMENDATION Ordinance vacating and permanently closing "I" Street extending 212.56 feet east of Highway 146 service road to the Harris County Flood Control property. The street closure has been requested by Mr. Fred Westergren and Bayshore National Bank to allow for new construction. Ordinance No. 1550 requires the applicant to reimburse the City certain fees for the conveyance of property, as requested, to the adjoining property owners. The fee for the property under consideration is $43,043.40. The request has been reviewed by all franchise utility companies and letters stating they do not have objections to the requested closing are attached. The City has received checks from Puffer-Sweiven and Bayshore National Bank in the amount of $21,521.70 each for the closure and purchase of "I" Street right-of-way. Action Required by Council: Approve request to close "I" Street and sell the right-of-way to the adjoining property for $43,043.40. Availability of Funds: General Fund Capital Improvement Other Water/Wastewater General Revenue Sharing Funds Available: YES NO Account Number: roved for it ncil enda -- _~ a-~~! _- Robert T. Herrera DATE City Manager i • • ORDINANCE N0. 1628 AN ORDINANCE VACATING, ABANDONING AND CLOSING A PORTION OF WEST "I" STREET; ABANDONING PUBLIC UTILITY EASEMENTS; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. WHEREAS, the City Council of the City of La Porte has been requested by record owner of all of the property abutting the hereinafter described portion of of West "I" Street, in the City of La Porte, to vacate, abandon, and permanently close that portion of West "I" Street; and WHEREAS, the City Council of the City of La Porte has determined and does hereby find, determine and declare that the hereinafter described portion of West "I" Street is not suitable, needed, or beneficial to the public as a public road or street, and that the closing of the hereinafter described portion of West "I" Street is for the protection of the public and for the public interest and benefit, and that the hereinafter described portion of said West "I" Street should be vacated, abandoned, and permanently closed. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section 1. Under and by virtue of the power granted to the City of La Porte under its Home Rule Charter and Chapter 13, Title 28, Article 1175, of the Revised Civil Statutes of the State of Texas, 1925, the hereinafter described portion of West "I" Street is hereby permanently vacated, abandoned and closed by the City of La Porte, to-wit: Being that portion of the right-of-way of West "I" Street, lying and being situated between Block One Hundred Sixty-six (166) and Block One Hundred Seventy- One (171), Town of La Porte, Harris County, Texas, said right-of-way being 60' in width and extending east 212.56' from the east right-of-way line of State Highway 146 Frontage Road, and containing 12,753.60 square feet, more or less. Section 2. The City Council officially finds, determines, recites and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City for the time required by law preceding this meeting, as required by the Open Meetings Law, Article 6252-17, Texas Revised • • ORDINANCE N0. 1628 Page 2 Civil Statutes Annotated; and that this meeting has been open to the public as required by law at all times during which this ordinance and the subject matter thereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. Section 3. This Ordinance shall be effective from and after its passage and approval, and it is so ordered. PASSED AND APPROVED, this 12th day of December, 1988. CITY OF LA PORTE BY Norman L. Malone, Mayor ATTEST: Cherie Black, City Secretary APPROVED: C~/• ~ Knox W. Askins, City Attorney ., , ;. CITY OF LA PORTE • APPLICATION FOR THE CLOSING OF STREETS AND ALLEYS Date We, the undersigned owners, Fred Westeroren Jr.. Trustee and Bayshore National Bank of La Porte of the following described real property located within the City of La Porte, Texas, hereby request and make application under the terms of the Ordinance Number 1550 for the facating, abandoning and closing of the following Streets and/or Alleys: LEGAL DESCRIPTION OF STREETS AND/OR ALLEYS Street(s): West "I" Street between Block 166 and Block 171, Town of La Porte extending east 212.56' from the east right-of-way line of the SH146 frontage road. No. of Square Feet: 12,753.60 REASON FOR REQUEST To provide additional land area for new construction proposed for Block 166. Plot Plan Attached Proof of Ownership Submitted herewith is an application fee of $100.00. Fred Westergren, Jr., Trustee Bayshore National Bank of La Pvr..te ~` ~ ~ -;,-~ P: 0. ox 666 P. 0. Bo 998 La Porte, Texas 77571 La Porte, Texas 77571 471-5325 471-4400 APPRAISAL INFORMATION HCAD Prime Rate o2~d~ ~ per square foot. Adjacent Property HCAD Prime Rate Concurrence of Revenue Controller Fee to be collected by City: ACTION ~-Recommended action to City Council City Council Action Ordinance No. dated Date er square foot. ~ ~ ~_ .. CITY OF LA FORTE PHONE (713) 471-5020 • P.O. BOX 1115 • LA FORTE, TEXAS 77571 • RECEIPT ~(~/ /~ , Check~.~~<Q Oti225A DATE ~~ ~ Money r e~ Cashier Check RECEIVED FROM ~> ~ R1l '= h )~~=}hu"-, ~~ PAYMENT FOR ~ ~V" c Ah10UNT $ O ~ ~ ' l (~ ~ I 1----- i DESCRIPTION f/ ~f c ~ _ ~' ~, ~~- ~--~ CA HIER~~ • ,A the L~~ht ~®~p~riy Houston Lighting & Power_ P. O. Box 597 Seabrook, Texas 77586 (713) 474-4151 November 16, 1988 Cherie Black, City Secretary City of La Porte Post Office Box 1115 La Porte, Texas 77571 re: Street Closure West "I" East of Hwy 146 Dear Ms. Black: Mr. Fred Westergren has requested the City to close and abandon a portion of West "I" Street and you have asked for our concurrence in the closure. Houston Lighting &Power Company has investigated this request and determined we have no facilities within the area to be abandoned. Therefore, our Company can interpose no objection to the request as filed. Sincerely, ~~ ~"'~-_ Jamas L. Wyatt District Manager JLW/jm A Subsidiary of Houston Industries Incorporated ~'- "' P. O. BOX 937, LA PORTE, TEXAS 77571 November 7. 1988 Cherie Black City Secretary, City of La Porte P. 0. Box 1115 La Porte, Texas 77572 RE: Closing of West I Street between block 166 and block 171, Town of La Porte extending east 212.56' from east right of way line of the S H 146 Frontage Road. Entex, A Division of Arkla~ Inc. has no facilities in or around the area described above and have no objections to the closing.~of said area. Sincerely ~~~"~'~ ~~~ Michael T. Stewart Manager La Porte, Texas • • ~' "' Southwestern Bell 2922 Plum Creek Room 201 Houston,~~Texas 77087 November 14, 1988 Ms. Cherie Black City of LaPorte P.O. Box 1115 LaPorte, Texas 77571-1115 Dear Ms. Black: Regarding your letter dated November 2, 1988, be advised that Southwestern Bell Telephone Company has no facilities in the area, West "I" Street between Block 166 and 171, Town of LaPorte extending east 212.56' from the east right-of-way line of the SH 146 frontage road. Southwestern Bell has no objections to the closing of the aforementioned area. Any further requests for telephone service within this area will require easements or structures,provided at the owner's expense and at no cost to the Telephone Company,, to conform to any further development. Any further questions regarding this matter may be directed to Ms. Gail Dupree on (713) 641-7365. Respectfully, -~~ Area Mgr.-Eng. Design Attachment • '"'" "' ' ~ FILE ~ : 2'9 , ' DATE: //- 7 ~~ X - REF: B8 - XZ/~ CASE ~: _.____._ _ KEY MAP REFERENCE: - 9 ..~-.. lr. ~/~ ... CIT't OF LA PORTE COMMUNITY DEVELOPMENT DEPARTMENT Checklist for Street & Alley/Easement Closing Requests: (1) Public Utilities (a) The City shall check for existing utilities in the R041's, Alleys, or Easements (b) Other public utilities will be checked by the individual franchises; i.e~. Entex, Bell Telephone, HL&P, Cable TV ~~ ~Y (2) Effect on adjacent property and property in surrounding area. (Does the street closing request ~'landlock~t or seriously dim~ish access_of adjacent land?) _ A~ (3) Effect on access by fire (u) (a) Utj~lities_(water or (sewer) cy vehicles. (b) S~~~s/Thor ughfares/Traffic Patterns* ~C/p i~i~~r-/]~ .C/S ~ r N~- ____ _ (c ) DrainagPways~ ~L/v ~U "'T ~3~iini~E~~J ,~ (d) Other Comprehensive Plan Considerations: /Cand Use Plan -''F oroughfare~ Wtilities~ /gfficial Parks & Rec. Map /~mcrunity Facilities Plan /Safety Plan Review the closing request in regards to future needs (whether immediate or long-term) for: ' • r' "• ~ - ` (5) Furnish small plat (81/2rr x 14rr max . ) of the proposed . closings, the status of adjacent streets (open or closed), property owners adjacent to (or nearby and possible affected) the proposed closing. (6) Receipt of comments from Public Works. attached d Forwarded to City Secretary Forwarded to City Secretary b y ~~~~~ 1?' /~88 Date City Council Action: pepartment Updates b y ~-- --- Date Tax Maps " 1'r c 100' U. V. Copy of Ord. in log _ Files ______N~__ ----- x - ref files " Form Approved _ ____ __~ 3,T/ ~~ D~'recto of Comm. Dev. D to (7) Comments/Recommendation(s): • ~ ~~ ~ ~ ~ ri.. . - ! \ ~ e 4 I L. I r 1 ~ ~\ \ ~ ~ ~Q 13.9 ~1 ~ ~. \ - . ~ ----~ ~ I Pcrkinq E ~' 4A ~ 14.2 aAO 1~ . ~ ~ _ o ~~ o o I ~ 2 ~ ~ ~ . ,, ~ a.~ ~ ~~ 165 + t3.9 \ ' r 13 3 16 ;~.~~ 18.3 , . ~, ~ ~ t ~~~.../// m h l o y / 1 ~ ~ O ~ ~ ~ z~2. ,~ ~ ~~ /059 p ~i- R ~ ~` 0 t8.3 ~' 14.2 `. ~ . -- ~ ° C . - - - la. ~ \ o ~8 ~ s ~ g ~ 13.3 ~ _ ~ -~F ~ ~' ~ -~ z ~ ~~ r 5' ~_ ~ ~ AYSH RE NATL. 14.3 ANK 1001 HWY.146 ~a e 3 ~: ~o ,~ \ ~._ • • r~---~' CITY OF LA PORTE INTER-OFFICE MEMORANDUM T0: Phillip Hoza, Engineering Department FROM: Steve Gillett, Public Works Director DATE: November 9, 1988 SUBJECT: STREET CLOSURE REQUEST The Public Works Department has no objections to the request by Mr. Fred Westergren and the Bayshore National Bank to close West "I" Street between Block 166 and Block 171 extending east 212.56" from the east right-of-way line of the SH 1~6 frontage road. There are no current Public Works facilities located in this right-of-way nor any future plans for such facilities. SG/gs xc: John Joerns, Assistant City Manager Joel Albrecht, Community Development Director • • REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: 02/1/89 Requested By: ~oX W• ~]~inS Department; City Attorney Report Resolution x Ordinance Exhibits : Ordinance No . 1634 attached Brent W. Ryan, Special Legal Counsel, has requested that City Council adopt the attached ordinance. Pair. Ryan will be present at the meeting on February l 1989, to discuss the ordinance. Action Required by Council: Passage of the ordinance. Availability of Funds: General Fund Water/Wastewater Capital Improvement General Revenue Sharing Other (Motor Pool Replacement Fund) Account Number: Funds Available: _ YES _ NO Ao~roved for City Council Agenda Q i ~. a~ a.- g~ Robert T. Herrera DATE City Manager i • ORDINANCE N0. 1634 AN ORDINANCE ESTABLISHING HAZARDOUS WASTE INCINERATOR SITING REQUIREMENTS; PROVIDING ANY PERSON, FIRM OR CORPORATION WHO VIOLATES ANY PROVISIONS OF THIS ORDINANCE SHALL BE DEEMED GUILTY OF A MISDE- MEANOR, AND UPON CONVICTION SHALL BE FINED NOT MORE THAN $200.00; PROVIDING CIVIL REMEDIES; PROVIDING FOR CONFLICT WITH OTHER LAWS AND ORDINANCES; PROVIDING A SAVINGS CLAUSE; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING THAT THIS ORDINANCE SHALL BE EFFECTIVE UPON ITS PASSAGE, APPROVAL, AND PUBLICATION OF ITS CAPTION AS REQUIRED BY LAW. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA FORTE: Section 1. DEFINITIONS Unless otherwise defined herein, terms used herein which are defined in either Section 2 of the Texas Solid Waste Disposal Act, TEX. REV. CIV. STAT. ANN. art 4477-7 (Vernon Supp. 1988) or Section 260.10 of the Environmental Protection Agency (EPA) Regulations, 40 C.F.R. ~ 260.10 (1988), shall have the meaning set out therein. In the event of any conflict between the definitions in the Texas Solid Waste Disposal Act and those in the EPA Regulations, the EPA Regulations shall control. Section 2. HAZARDOUS WASTE INCINERATOR SITING REQUIREMENTS A. From and after the effective date hereof: (1) No hazardous waste incinerator facility may be located within one thousand (1,000) feet of an estabished residence, church, school, or dedicated public park which is in use at the time of the earlier to occur of: (a) the filing of a notice of intent to file an application for the hazardous waste incinerator facility or (b) the filing of an application with the Texas Water Commission for a hazardous waste facility permit for the hazardous waste incineration facility. (2) No hazardous waste incinerator which has a design operating capacity in excess of fifty million (50,00000) BTU per hour may be located within three thousand (3,000) feet of an established residence, church, school, or dedicated public park which is in use at the time of the earlier to occur of: (a) the filing of a notice of intent to file an application for the hazardous waste incinerator or (b) the filing of an application with the Texas Water ORDINANCE NO. 1634 Page 2 Commission for a hazardous waste permit for the hazardous waste incinerator. (3) No hazardous waste incinerator which has a design operating capacity in excess of one hundred million (100,000,000) BTU per hour may be located within one (1) mile of an established residence, church, school, or dedicated public park which is in use at the time of the earlier to occur of: (a) the filing of a notice of intent to file an application for the hazardous waste incinerator or (b) the filing of an application with the Texas Water Commission for a hazardous waste permit for the hazardous waste incinerator. B. C. The provisions of this Section 2 shall not apply to any hazardous waste incineration facility or hazardous waste incinerator for which either: (a) a notice of intent to file an application, or (b) an application for a hazardous waste facility permit, has been filed with the Texas Water Commission as of September 1, 1985. The provisions of this Section 2 shall not apply to any solid waste facility which is in existence as of the date this ordinance would otherwise become applicable to the facility, provided the facility is operated in substantial compliance with all applicable state and county regulations. A solid waste facility shall be considered to be "in existence" only to the extent of valid authorization to operate the facility pursuant to applicable state and county regulations. Section 3. PUNISHMENT Any person, firm or corporation who violates any provisions of this Ordinance shall be deemed guilty of a misdemeanor, and upon conviction shall be fined in a sum not more than Two Hundred Dollars ($200.00). Each day such violation continues shall constitute a separate offense. In case any building or structure erected, constructed, re- constructed, altered, repaired, converted or maintained, or any • • ORDINANCE NO. 1634 Page 3 building, structure, or land is used in violation of the gereral law or the terms of this Ordinance, the City of La Porte, in addition to imposing the penalty above provided, may institute any appropriate action or proceedings in any Court of competent jurisdiction to prevent such unlawful erection, construction, reconstruction, alteration, repair, conversion, maintenance or use, to restrain, correct or abate such violation, or to prevent the occupancy of such building, structure or land, to prevent the illegal act, conduct, business or use, in or about such land; and the definition of any violation of the terms of this Ordinance as a misdemeanor, shall not preclude the City of La Porte from invoking the civil remedies given it by law in such cases, including collection of reasonable attorney fees and court costs, but same shall be cumulative of and in addition to the penalties prescribed for such violation. Section 4. CONFLICT WITH OTHER LAWS AND ORDINANCES It is not the intent of this Ordinance to repeal, abrogate, annul or in any way impair or interfere with existing provisions of other laws or ordinances, except as the same may be specifically repealed by the terms of this Ordinance. Where the conditions imposed by any provisions of this Ordinance are either more or less restrictive than comparable conditions imposed by another statute, ordinance, rule or regulation of the United States, State of Texas, or the City of La Porte, the statute, ordinance, rule or regulation which imposes the more restrictive condition, standard, or requirements shall prevail. Section 5. SAVINGS CLAUSE That in the event any section, or part of section or provision of this Ordinance be held invalid, unconstitutional, or inoperative, this shall not affect the validity of the remaining sections, or parts of sections of this Ordinance, but the remainder of the Ordinance shall be given effect as if said invalid, unconstitutional or inoperative section, or part of section or provision, had not been included. In the event any penalty, right or remedy created or given in any section or part of this Ordinance is held invalid, • ORDINANCE NO. 1634 Page 4 unconstitutional or inoperative, this shall not affect the validity of any other penalty, right or remedy created or given either in the whole Ordinance or in the Section thereof containing such invalid, unconstitutional or inoperative part, and if any exception to or any limitation upon any general provision herein contained shall be held to be unconstitutional or invalid, the general provisions shall nevertheless stand effective and valid as if the same had been enacted without such limitation or exceptions. Section 6. OPEN MEETINGS LAW The City Council officially finds, determines, recites and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City for the time required by law preceding this meeting, as required by the Open Meetings Law, Article 6252-17, Texas Revised Civil Statutes Annotated; and that this meeting has been open to the public as required by law at all times during which this ordinance and the subject matter thereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. Section 7. EFFECTIVE DATE This Ordinance shall be effective from and after its passage, approval, and publication of its caption, as required by law, and it is so ordered. PASSED AND APPROVED, this 6th day of February, 1989. CITY OF LA PORTE BY Norman L. Malone, Mayor ATTEST: City Secretary APPROVED: Special Legal Counsel i • REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: February 13, 1989 Requested By: John D. Armstrong Department: Report 89-1 Resolution Exhibits: Attached to Resolution 89-1 Attorney, La Porte Area Water Authority Ordinance According to the contracts signed by the City of La Porte and the La Porte Area Water Authority, and according to state law, the City Council of the City of La Porte must approve any bond sale by the La Porte Area Water Authority, prior to the time that the Authority may sell its bonds. The La Porte Area Water Authority, according to long-standing plans, has received the approval of the Texas Water Commission and the Texas Water Development Board to sell a total of NINE MILLION EIGHT HUNDRED THOUSAND DOLLARS ($ 9,8.00,000.00) of Contract Revenue Bonds to the Texas Water Development Board. A prior sale of bonds took place late in 1988 in the amount of FIVE MILLION DOLLARS ($ 5,000,000.00). This sale, in the amount of FOUR MILLION EIGHT HUNDRED THOUSAND DOLLARS ($4,800,000.00), is the remainder of the funds authorized by the Texas Water Commission and the Texas Water Development Board. The FIVE MILLION DOLLAR ( $5,000,000.00) bond sale was to finance the City of La Porte's purchase of a portion of the City of Houston',s Southeast Water Purification Plant. The FOUR MILLION EIGHT HUNDRED THOUSAND DOLLAR ( $4,800,000.00) bond sale is in order to finance the construction of a transmission system of pipe to transport water from the Southeast Water Purification Plant to the customers of the La Porte Area Water Authority. Action Required by Council: pass Resolution in form attached. Availability of Funds: N/A General Fund Water/Wastewater Capital Improvement General Revenue Sharing Other (Motor Pool Replacement Fund) Account Number: Funds Available: _ YES ~ NO A 9 ~ R t T. Herrera DAT City Manager r- .~ .~~ . . RESOLUTION NO. 89-1 , A RESOLUTION CONSENTING TO MATTERS RELATING TO A PROPOSED BOND ISSUANCE BY THE LA PORTE AREA .WATER AUTHORITY; PROVIDING FOR A SEVERABILITY CLAUSE; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING FOR AN EFFECTIVE DATE HEREOF. WHEREAS, the Board of Directors of the La Porte Area Water Authority (the "Authority") has informed the City Council of The City of La Porte that the Authority desires to issue and sell its Contract Revenue Bonds, Series II 1988, in the aggregate principal amount of FOUR MILLION EIGHT HUNDRED THOUSAND DOLLARS ($4,800,000.00), in order to finance the construction of a transmission and distribution system to transport water from the Southeast Water Purification Plant (the "Southeast Plant") under construction by the City of Houston, to customers of the Authority, and for other related purposes; and WHEREAS, THE CITY OF LA PORTE has entered into a Water Supply Contract (the "Contract") with the Authority for THE CITY OF LA PORTE to ,purchase treated water at the Southeast Plant from the Authority; and WHEREAS, the Authority has delivered to THE CITY OF LA PORTE pursuant to Section 2.03 of the Contract, the proposed bond resolution attached hereto as Exhibit "A" (the "Bond Resolution") and a schedule containing an estimate of the amounts described in such Section 3.02; and WHEREAS, the Authority has delivered to THE CITY OF LA PORTE pursuant to Section 3.02 of the contract the finalized construction cost formula and THE CITY OF LA PORTE'S share of the actual construction cost for the Transmission System and Distribution System; therefore • • ~,.~ .~ Resolution No. 89-1, Page 2 BE IT RESOLVED BY THE CITY COUNCIL OF THE THE CITY OF LA PORTE: Section 1. That The City of La Porte hereby consents, pursuant to Section 3.03 of the Contract, to the Bond Resolution. That The City of La Porte hereby approves, pursuant to Section 2.03 of the Contract, the finalized construction cost formula and The City of La Porte's share of the actual construction cost for the Transmissicn System and Distribution System. Section 2. That if any section, sentence, phrase, clause, or any part of any section, sentence, phrase, or clause, of this resolution shall, for any reason, be held invalid, such invalidity shall not affect the remaining portions of the resolution, and it is hereby declared to be the intention of this City Council to have passed each section, sentence, phrase or clause,. or part thereof, irrespective of the fact that any other section, sentence, phrase or clause, or part thereof, may be declared invalid. Section 3. That the City Council officially finds, deter- mines, recites and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the offices of THE CITY OF LA PORTE for the time required by law preceding this meeting, as required by the Open Meetings Law, Article 6252-17, Texas Revised Civil Statutes Annotated; and that this meeting has been open to the public as required by law at all times during which this resolution and the subject matter thereof has been discussed, considered and formally acted upon. The City Council • • ~~ ,. .~ .. • Resolution No. 89-1, Page 3 further ratifies, approves and confirms such written notice and the contents and posting thereof. Section 4. That this resolution shall take effect and be in full force immediately upon and after its adoption. PASSED AND APPROVED THIS THE DAY OF , 1989. CITY OF LA PORTE By: Norman Malone, Mayor ATTEST: By: Secretary • • ',.~ .. ~\ RESOLUTION AUTHORIZING THE ISSUANCE AND SALE OF $4,800,000 CONTRACT REVENUE BONDS, SERIES II 1988 AND AUTHORIZING AN AGREEMENT WITH THE PAYING AGENT/REGISTRAR WHEREAS, La Porte Area Water Authority (the "Authority") was organized pursuant to the provisions of Section 59 of Article XVI of the Constitution of the State of Texas, by special act, namely,' Chapter 729, page 2,678 et seq., of the 67th Legislature of Texas, Regular Session, 1981 (the "Act"), and operates under the Act and Chapter 54 of the Texas Water Code, as amended; and WHEREAS, the Act authorizes the Authority, with the approval of the City Council of the City of La Porte, to issue its revenue bonds, which revenue bonds may be secured by and payable from pledges of all or any part of the revenues, receipts or assets of the Authority or the revenues of any one or more leases or other contracts made; and WHEREAS, the Authority has recently issued its first series of revenue bonds in the aggregate principal amount of $5,000,000 (the "First Series of Bonds"), in order to acquire an undivided interest in the Southeast Water Purification Plant under construction by the City of Houston, Texas (the "Southeast Plant"); and WHEREAS, the Board of Directors has determined that it is appropriate to issue its second series of revenue bonds in the aggregate principal amount of $4,800,000, the net proceeds of which are to be used to construct a trans- mission and distribution system to transport water from the Southeast Plant to customers of the Authority, and thereby provide a reliable supply of potable fresh water to serve - persons and businesses in the Authority and in certain areas in Harris, County, Texas outside the Authority but within its authorized service area; and WHEREAS, the Board of Directors desires to proceed with the issuance of such Bonds; therefore BE IT RESOLVED BY THE BOARD OF DIRECTORS OF LA PORTE AREA WATER AUTHORITY THAT: ~~II~ 1~ • • !,._ .~ Section 1. CERTAIN DEFINITIONS When used in this Resolution, except in Sections 3.01 through 3.04, the terms listed below shall have the meanings indicated opposite each of them, unless otherwise expressly provided or unless the context otherwise requires: "Act" shall mean Chapter 729, page 2,678 et seq., Acts of the 67th Legislature of the State of Texas,.Regular Session, 1981, and any future amendments thereto. "Additional Bonds" shall mean the additional parity bonds which the Authority expressly reserves the right to issue in Section 8 of this Resolution which may be issued in the future. When used in the proper context, Additional Bonds may include refunding bonds. "Authority" shall mean La Porte-Area Water Authority, and any other public agency succeeding to the powers, rights, privileges and functions of the Authority and, when appropriate, the Board of Directors of~the Authority. "Board of Directors" or "Board" shall mean the governing body of the Authority. "Bond" or "Bonds" shall mean any Bond or all Bonds, as the case may be, of the issue of $4,800,000 La Porte Area Water Authority Contract Revenue Bonds, Series II 1988, dated as of December 1, 1988, authorized and issued pursuant to this Resolution. "Bond Fund" shall mean the Authority's interest and sinking fund for the Bonds established by Section 7.01 of this Resolution. "Construction Fund" shall mean the fund of the Authority established pursuant to Section 7.01 of this Resolution into which the balance of the proceeds of the sale of the Bonds shall be placed. "Contingency Fund" shall mean the fund established pursuant to Section 7.01 hereof and to be maintained pursuant to Section 7.06 hereof as long as the Bonds and any Additional Bonds are outstanding. "Distribution System" shall mean those facilities used to transport treated surface water from the termination of the Transmission System to each Participant's take point. 038DESAJ/024C02 ~ -2- • ~ • ~~ .- "Government Obligations" shall mean direct obliga- tions of, or obligations the full and timely payment of the principal of and interest on which are unconditionally guaranteed by, the United States of America, which are non-callable and which at the time of investment are legal investments for the Authority under the laws of the State of Texas for the moneys proposed to be invested therein. "Houston" shall mean the City of Houston, Texas. "Houston Contract" shall mean the contract effective as of December 4, 1987, pursuant to which the Authority has agreed to purchase an undivided interest in the Southeast Plant and has agreed to purchase potable treated surface water from the Southeast Plant. "Initial Bond(s)" shall mean the Bonds numbered from T-1 through T-25 as provided for in Section 2.02. "La Porte" shall mean the City of La Porte, Texas. "MGD" shall mean million gallons per day. As used in this Resolution, "MGD" shall refer to a quantity of water during a period of time expressed for convenience in terms of an average daily quantity during a calendar month (unless a different period of time is specified). "Net Revenues" shall mean all Revenues received by the Authority less the Operating and Maintenance Expenses of the Authority. „ "Operating and Maintenance Expenses" shall mean all costs incurred by the Authority in providing potable water to the Participants under the Water Sales Contracts (except for amounts funded by the proceeds of Bonds or Additional Bonds, debt service on such Bonds or Additional Bonds and amounts required to fund the Reserve Fund, the Contingency Fund and the Rebate Fund), including all opera- tion and maintenance costs billed to the Authority by Houston, all operating and maintenance costs incurred by the Authority related to the Transmission System and the Distribution System, all administrative costs incurred by the Authority and the cost of all insurance maintained by the Authority. "Participants" shall mean (a) La Porte, the City of Morgan's Point, Texas, and the City of Shoreacres, Texas, all of which are located entirely within Harris County, Texas, and each of which has executed a Water Sales Contract 038DESAJ/024C02 ~ -3- • ~..._ .~ with the Authority; and (b) any customer Water Sales Contract with the Authority date of execution of such contract. who executes a- from and after the "Paying Agent/Registrar" shall mean First City National Bank of Houston, Houston, Texas, or its successor appointed pursuant to Section 2.08. "Rebate Fund" shall mean the special fund or account established and to be maintained pursuant to Section 7.01 hereof for the benefit of the United States of America and the Authority, as their interests may appear. "Reserve Fund" shall mean the special fund or account established and to be maintained pursuant to Section 7.01 hereof for the benefit, and to secure the payment, of the Bonds and any Additional Bonds. "Reserve Fund Amount" shall mean the amount required to be accumulated and maintained in the Reserve Fund under the provisions of Section 7.04. "Revenue Fund" shall mean the fund or account created pursuant to Section 7.01 hereof and to be maintained pursuant to Section 7.02 hereof so long as the Bonds and any Additional Bonds are outstanding. "Revenues" shall mean (a) all income, fees and charges received by the Authority from the Participants pursuant to the Water Sales Contracts and (b) earnings and income derived from the investment of moneys in any funds or accounts (other than the Construction Fund and the Rebate Fund) created and maintained by the Authority in connection with the Authority's operations under the Water Sales Contracts, and including particularly the special funds created hereunder for the payment and security of the Bonds. "Southeast Plant" shall mean the Project described in the Houston Contract generally, and specifically described in Exhibit "B" to the Houston Contract. "Transmission System" shall mean those facilities, including pipelines, easements, pumping and other devices to deliver treated surface water from the take point at the Southeast Plant to the points at which the water is delivered to the Distribution System, which includes necessary storage and pumping facilities to deliver water to each Participant. 038DESAJ/024C02 -4- • ~._ ,~ "Water Sales Contracts" shall mean the contracts between the Authority and each of the Participants, all of which are, or shall be, in substantially similar form. Section 2. DESCRIPTION OF BONDS The authorization and description of the Bonds and designation of certain rights respecting the Bonds shall be as follows: 2.01. Bond Amount, Name and Pur ose. The Authority's Bonds to be designated as "LA PORTE AREA WATER AUTHORITY CONTRACT REVENUE BONDS, SERIES II 1988," are hereby authorized to be issued and delivered in accordance with the Constitution and laws of the State of Texas, in particular the Act and Chapter 54 of the Texas Water Code, as amended, in the principal amount of $4,800,000 for the purpose of constructing the Transmission System and the Distribution System. The Authority hereby designates the Bonds to be a "qualified tax-exempt obligation"-within the meaning of Section 265(b)(3)(B) of the Internal Revenue Code of 1986, as amended (the "Code"). 2.02. Form, Numbers, Date and Denominations. The Bonds shall be issued and delivered in fully registered form without coupons, shall be dated as of December 1, 1988 (the "Initial Date"), and shall each be in denominations of $5,000 or any integral multiple thereof (up to the maximum principal amount of the Bonds maturing in the year ~• involved). Initially, there shall be 25 Bonds numbered consecutively from T-1 through T-25 in order of their maturity, each in the principal amount set opposite the year of maturity in the schedule set forth in Section 2.03. .Bonds registered and delivered in exchange for any of the Initial Bonds surrendered for transfer or exchange shall be numbered from R-1 upward in the order that they are -authenticated and delivered by the Paying Agent/Registrar. 2.03. Interest, Maturity and Payment. The Bonds shall bear interest (computed on the basis of a 360-day year of twelve 30-day months) from the date of delivery, payable June 1, 1989, and each December 1 and June 1 thereafter until the principal sum is paid in full. Payment of interest shall be made to the registered owner of each Bond as shown on the Bond Register provided for in Section 2.05 hereof as of the 15th day of the calendar month next preceding the interest payment date by check or draft mailed by the Paying Agent/Registrar to the address of each such 038DESAJ/024C02 ~ -5- • C~ ~.. owner as it appears on such Bond Register on the date aforesaid. The Bonds shall mature and become payable, subject to prior redemption in accordance with the provisions of Section 2.04 hereof, on December 1 in each of the years and in the principal amount set forth in the schedule below and shall bear interest at the respective rates per annum set forth opposite the year of maturity in such schedule, to-wit: Year of Principal Interest Maturity Amount Rate 1992 75,000 5.15$ 1993 80,000 5.35$ 1994 85,000 5.55$ 1995 95,000 5.75 1996 100,000 5.95 1997 105,000 6.10$ 1998 115,000 6.25$ 1999 120,000 6.40$ 2000 130,000 _ 6.50$ -' 2001 140,000 6.60 2002 150,000 6.70$ 2003 160,000 6.80$ 2004 170,000 6.85 2005 185,000 6.90$ 2006 195,000 6.95 2007 210,000 6.95$ 2008 225,000 6.95$ 2009 240,000 6.95$ 2010 255,000 7.00$ 2011 275,000 7.00$ 2012 295,000 7.00 2013 315,000 7.05$ 2014 335,000 7.05 2015. 360,000 7.05$ 2016 385,000 7.05$ The principal of the Bonds shall be payable, without exchange or collection charges, in any coin or currency of the United States of America which, on the date of payment thereof, is legal tender for the payment of debts due the United States of America, upon their presentation and surrender as they become due or at their earlier redemption date, if any, at the principal office of the Paying Agent/Registrar. 038DESAJ/024C02 ~ -6- ~._ .. 2.04. Redemption of Bonds. The Authority reserves the right to redeem, in whole or from time to time in part, all of the Bonds on December 1, 1998, or any interest payment date thereafter, by paying the principal thereof and accrued interest thereon. The Authority shall, at least 45 days prior to the date fixed for redemption (unless a shorter notice shall be satisfactory to the Paying Agent/Registrar), notify the Paying Agent/Registrar of such date and, if less than all of the Bonds within any maturity are to be redeemed, the particular Bonds within each maturity to be redeemed. The registered owner of any Bond, all or a portion of which has been called for redemption, shall be required to present such Bond to the Paying Agent/Registrar for payment of the principal of, and accrued interest on, that portion of the Bond called for redemption; provided, however, upon the surrender of any such Bond, the Authority shall execute and the Paying Agent/Registrar shall authenticate and deliver to the registered o~aner thereof a new Bond or Bonds of the same maturity in an aggregate principal amount equal to the unredeemed portion of the Bond surrendered. Notice of redemption shall be given by mailing a copy thereof by first class mail, postage prepaid, at• least 30 days prior to the date fixed for redemption to the registered owner of each Bond to be redeemed in whole or in part at the address of such owner on the Bond Register; provided, however, that failure to give such notice, or any defect therein, shall not affect the validity of the proceedings for the redemption of any Bond or portion thereof with respect to which no such failure or defect has occurred. Any notice mailed as provided in this Section 2.04 shall be conclusively presumed to have been duly given, whether or not the registered owner receives the notice. Prior to the date fixed for redemption, the Authority shall deposit, or cause to be deposited, with the Paying Agent/Registrar, funds sufficient to pay in full the principal of all Bonds or portions thereof called for redemption, together with accrued interest thereon to the -redemption date. Any Bond or Bonds duly called for redemp- tion, due provision for the full payment of which has been timely made, shall cease to bear interest from and after the date fixed for redemption. 2.05. Transfers and Exchan es of the Bonds. The Authority shall cause to be kept at the principal office of the Paying Agent/Registrar a register (the "Bond Register") in which, subject to such reasonable regulations as the Authority and the Paying Agent/Registrar may prescribe, registration of the Bonds and transfers of the Bonds shall be made as provided herein. Upon surrender for transfer of 038DESAJ/024C02 -7- r- .. any Bond at the principal office of the Paying Agent/Registrar, the Authority shall execute and the Paying Agent/Registrar shall authenticate and deliver, in the name of the designated transferee or transferees, one or more new Bonds of the same maturity, of any authorized denominations, bearing the same rate of interest and of a like aggregate principal amount. At the option of the registered owner of any Bond, it may be exchanged for other Bonds of the same maturity, of any authorized denominations, bearing the same rate of interest, and of like aggregate principal amount, upon surrender of the Bond to be exchanged at the principal office of the Paying Agent/Registrar. Whenever any Bond is so surrendered for exchange, the Authority shall execute, and the Paying Agent/Registrar shall authenticate and deliver, the Bonds which the registered owner of the Bond making the exchange is entitled to receive. All Bonds issued upon any transfer or exchange of any Bond shall be the valid obligations of the Authority, evidencing the same debt and entitled to the same benefits under this Resolution, as the Bond surrendered upon such transfer or exchange. Every Bond presented or surrendered for transfer or exchange shall be duly endorsed, or be accompanied'by a written instrument of transfer in form satisfactory to the Paying Agent/Registrar duly executed, by the registered owner thereof or his attorney duly authorized in writing. No service charge shall be made to the registered owner for any registration, transfer or exchange of Bonds, but the Authority or the Paying Agent/Registrar may require payment of a sum sufficient to cover any tax or other governmental charge that may be imposed in connection with any transfer- or exchange of Bonds. Neither the Authority nor the Paying Agent/Registrar shall be required to transfer or exchange any Bond during the period of 15 days next preceding any interest payment date or to transfer or exchange any Bond during the 30-day period prior to the date set for redemption of such Bond. - 2.06. Ownership of the Bonds. The Authority, the Paying Agent/Registrar and any other person may treat the individual, firm or corporation in whose name any Bond is registered on the Bond Register as the absolute owner of such Bond for the purpose of making and receiving payment of the principal thereof and interest thereon and for all other purposes, whether or not such Bond is overdue, and neither the Authority nor the Paying Agent/Registrar shall be bound by any notice or knowledge to the contrary. All payments made to any such person, firm or corporation deemed to be the owner of any Bond in accordance with this Section 2.06 shall be valid and effectual and shall discharge the 038DESAJ/024C02 ~ -g- • • ~.~ s- liability of the Authority and the Paying Agent/Registra•r to the extent of the sums paid. 2.07. Execution of the Bonds. The Bonds shall be executed on behalf of the Authority by the President or Vice President of the Board under the seal of the Authority attested by the Secretary or Assistant Secretary of the Board. Each such signature may be manually executed or placed in facsimile on the Bonds, and the Authority's seal may be manually impressed, printed or otherwise placed on the Bonds. Bonds receiving the manual or facsimile signa- tures of individuals who were at the time the duly elected or appointed officers of the Authority shall be binding upon the Authority notwithstanding such individuals or any of them shall cease to hold such offices prior to the certi- fication, registration, authentication or delivery of such Bonds or shall not have held such office on the date of such Bonds, all as provided in the Act and the Bond Procedures Act of 1981, as amended. The Initial Bonds, each payable to the Texas Water Development Board (the "Purchaser"), shall be executed and submitted to the Attorney General~of Texas for approval, and thereupon certified by the Comptroller of Public Accounts of the State of Texas by his manual signa- ture or by the manual signature of one of his deputies thereunto duly authorized. No Bond authorized by this Resolution shall be entitled to any right or benefit here- under, or be valid or obligatory for any purpose unless the Comptroller of Public Accounts of the State of Texas or his duly authorized agent shall have executed a Registration Certificate substantially in the form of the Registration -- Certificate of Comptroller of Public Accounts set forth in Section 3.02 hereof or the Paying Agent/Registrar shall have executed a Certificate of Authentication substantially in the form of the Certificate of Authentication of Paying Agent/Registrar set forth in Section 3.03 hereof, and either such executed certificate upon any Bond shall be conclusive evidence that such Bond has been executed and delivered pursuant to this Resolution. 2.08. Paying Agent/Registrar. The Authority covenants at all times to maintain a Paying Agent/Registrar for the Bonds meeting the qualifications herein set forth, and, subject to the remaining provisions of this Section 2.08, hereby appoints First City National Bank of Houston, Houston, Texas, initially to serve in such capacity. The form, terms and provisions of the proposed Agreement between the Authority and First City National Bank of Houston, Houston, Texas, providing for such appointment, a draft of which is attached to this Resolution as Exhibit A, are 038DESAJ/024C02 -9- • • ., hereby approved in all respects, and the President or Vice President and Secretary or Assistant Secretary of the Board are hereby authorized and directed to execute and deliver an agreement substantially in the form of such Agreement, with such changes therein as the officers executing the same shall, as evidenced by their signatures thereon, approve. The Authority expressly reserves the right to appoint one or more successor Paying Agent/Registrars by (1) filing with the Paying Agent/Registrar then serving a certified copy of a resolution or order giving notice of the termination of the Authority's agreement with such Paying Agent/Registrar and appointing a successor and (2) giving notice to all of the registered owners of the Bonds and to the Municipal Advisory Council of Texas or its successor. Every Paying Agent/Registrar appointed hereunder shall at all times be a corporation organized and doing business under the laws of the United States of America or of any State, authorized under such laws to exercise trust powers, and subject to supervision or examination by federal or state authority. 2.09. Mutilated, Lost, Destroyed or Wrongfully Taken Bonds. If (1) any mutilated Bond is surrendered to the Paying Agent/Registrar, or (2) the Authority and the Paying Agent/Registrar receive evidence to their satisfac- tion of the destruction, loss or theft of any Bond, and (a) there is delivered to the Authority and the Paying Agent/ Registrar such security or indemnity as may be required by them to save each of them harmless and (b) the Authority and the Paying Agent/Registrar have no notice that such latter Bond has been acquired by a bona fide purchaser, then and in either such event the Authority shall execute and upon its request the Paying Agent/Registrar shall register and deliver, in exchange for or in lieu of any such mutilated, destroyed, lost or stolen Bond, a new Bond of the same maturity and of like tenor, interest rate and principal amount, bearing a number not contemporaneously outstanding. Upon the issuance of any new Bond under this Section 2.09, -the Authority may require the payment by the registered owner thereof of a sum sufficient to cover any tax or other governmental charge that may be imposed in relation thereto and any other expenses (including the fees and expenses of the Paying Agent/Registrar) connected therewith. Every new Bond issued pursuant to this Section 2.09 in lieu of any mutilated, destroyed, lost or stolen Bond shall constitute a replacement of the prior obligation of the Authority, whether or not the mutilated, destroyed, lost or stolen Bond shall be at the time enforceable by anyone, and shall be entitled to all the benefits of this Resolution equally and ratably with all other outstanding Bonds. 038DESAJ/024C02 -10- • • ~~ s. Section 3. FORM OF BONDS AND CERTIFICATES THEREON The form of the Bonds, including the form of Registration Certificate of the Comptroller of Public Accounts of the State of Texas to be typed or printed on each of the Initial Bonds only, and the form of Certificate of Authentication of the Paying Agent/Registrar to be typed or printed on all of the Bonds other than the Initial Bonds shall be, respectively, substantially as set forth in this Section with such appropriate insertions, omissions, substi- tutions and other variations as are permitted or required by this Resolution and may have such letters, numbers or other marks of identification (including identifying numbers and letters of the Committee on Uniform Securities Identifica- tion Procedures of the American Bankers Association) and such legends and endorsements (including the reproduction of an opinion of counsel), thereon as may, consistently herewith, be established by the Authority or determined by the officers executing such-Bonds as evidenced by their execution thereof. 3.01. Form of Bond. Registered No. UNITED STATES OF AMERICA STATE OF TEXAS COUNTY OF HARRIS LA PORTE AREA WATER AUTHORITY CONTRACT REVENUE BOND SERIES II 1988 Interest Rate Due December 1, Registered Initial Date December 1, 1988 La Porte Area Water Authority, in the County of -Harris, State of Texas (the "Authority"), for value received, hereby promises to pay to 038DESAJ/024C02 ~ -11- • • n r' --- or registered assigns, on the due date shown above, the.sum of DOLLARS, and to pay interest thereon, at the rate specified above, from the date of delivery, beginning June 1, 1989, and semi- annually thereafter on June 1 and December 1 of each year until the principal sum shall have been paid, such interest to be computed on the basis of a 360-day year of twelve 30-day months. The principal of this Bond is payable in lawful money of the United States of America, without exchange or collection charges, at the principal corporate trust office of First City National Bank of Houston, Houston, Texas, or its successor (the "Paying Agent/Registrar") upon presentation and surrender of this Bond. The interest on this Bond payable on any interest payment date will be paid to the person, firm or corporation in whose name this Bond is registered at the close of business on the 15th day of the calendar month next preceding such interest payment date by check or draft dated as of the interest payment date and mailed to such registered owner. * * * * * * * * * * (Additional Provisions of the Bonds) (To be typed on the face of the Initial Bonds and all non-printed Bonds and printed on the back of all printed Bonds) THIS BOND is one of the series specified in its title issued in the aggregate principal amount of $4,800,000 (the "Bonds") pursuant to a Resolution (the "Bond Resolu- tion") duly adopted by the Board of Directors of the Authority for the purpose of constructing a transmission and distribution system to transport water from the Southeast Water Purification Plant under construction by the City of Houston, Texas to customers of the Authority, under and in -the strict conformity with the Constitution and laws of the State of Texas, including without limitation Chapter 729, pages 2,678 et seq., Acts of the 67th Legislature of Texas, Regular Session, 1981, and Chapter 54 of the Texas Water Code, as amended. Capitalized terms used herein have the respective meanings assigned to them in the Bond Resolution. The Authority expressly reserves the right to issue additional bonds on a parity in all respects with the Bonds, in accordance with the terms and conditions set forth in the Bond Resolution. 038DESAJ/024C02 ~ -12- • ~._ .~ The Bonds, together with any additional bonds issued by the Authority on a parity with the Bonds, are payable solely from and secured by a lien on and pledge of the Net Revenues of the Authority. Reference is hereby made to the Bond Resolution for a description of the covenants by which the Bonds are secured, the respective rights there- under of the registered owners of the Bonds and the Authority and the terms upon which the Bonds are, and are to be, authenticated and delivered. The Bonds. do not constitute a legal or equitable pledge, charge, lien or encumbrance upon any property or assets of the Authority other than the Net Revenues and other moneys and securities pledged under the Bond Resolution. The owner hereof shall never have the right to demand payment of this obligation from any other revenues or properties of the Authority, or from any funds raised or to be raised by taxation by the Authority, the City of La Porte, Texas, the State of Texas or any subdivision of any of them. The Authority has reserved the right to redeem, in whole or from time to time in part, all of the Bonds on December 1, 1998, or any interest payment date thereafter, by paying the principal thereof and accrued interest thereon. If less than all of the Bonds are to be redeemed, the Authority shall designate the principal amount of Bonds of each maturity to be redeemed and the particular Bonds within each maturity in integral multiples of $5,000. At least 30 days' prior notice of any such redemption shall be given by mail as provided in the Bond Resolution. Any Bond or Bonds duly called for redemption, due provision for the full payment of which has been timely made, shall cease to bear interest from and after the date fixed for redemption. As provided in the Bond Resolution and subject to certain limitations therein set forth, this Bond is - transferable on the Bond Register of the Authority, upon surrender of this Bond for transfer at the principal office of the Paying Agent/Registrar, duly endorsed, or accompanied by a written instrument of transfer in form satisfactory to the Paying Agent/Registrar duly executed, by the registered owner hereof or his attorney duly authorized in writing, and thereupon one or more new fully registered Bonds~of the same maturity, of authorized denominations, bearing the same rate of interest and for the same aggregate principal amount will be issued to the designated transferee or transferees. 038DESAJ/024C02 ~ -I3- • • r' - Neither the Authority nor the Paying Agent/Registrar shall be required (1) to transfer or exchange this Bond during the period of 15 calendar days next preceding any interest payment date or (2) to transfer or exchange this Bond during the 30-day period prior to the date fixed for redemption of this Bond. The Authority, the Paying Agent/Registrar and any agent of either of them may treat the person, firm or corporation in whose name this Bond is registered as the owner hereof for the purpose of receiving payment as herein provided and for all other purposes, whether or not this Bond be .overdue, and neither the Authority, the Paying Agent/Registrar nor any such agent shall be affected by notice or knowledge to the contrary. It is hereby certified, covenanted and represented that all acts, conditions and things required to exist or to be performed or done precedent to or in the issuance of this Bond in order to render the same a legal, valid and binding obligation of the Authority have been performed,•exist and have been done in regular and due time, form and manner, as required by law, and that the issuance of the Bonds does not exceed any constitutional or statutory limitation. This Bond shall be construed in accordance with and shall be governed by the laws of the State of Texas. * * * * * * * * * * (Legend to be printed on the face of all printed Bonds) REFERENCE IS HEREBY MADE TO FURTHER PROVISIONS OF THIS BOND SET FORTH ON THE REVERSE HEREOF, WHICH FURTHER PROVISIONS SHALL FOR ALL PURPOSES HAVE THE SAME EFFECT AS IF FULLY SET FORTH IN THIS PLACE. (Additional paragraph to be typed on Initial Bonds only) This Bond shall not be entitled to any right or benefit under the Bond Resolution, or be valid or become obligatory for any purpose, unless the Comptroller of Public Accounts of the State•of Texas or his duly authorized agent shall have executed the Registration Certificate of Comp- troller of Public Accounts endorsed hereon. 038DESAJ/024C02 '-14- • ~ • '.,' •; (Additional paragraph to be typed or printed on the face of all Bonds other than the Initial Brands) This Bond shall not be entitled to any right or benefit under the Bond Resolution, or be valid or become obligatory for any purpose, unless the Paying Agent/Registrar shall have executed the Certificate of Authentication endorsed hereon. * * * * * * * * * * IN WITNESS WHEREOF, this Bond has been signed by the manual or facsimile signature of the President or Vice President of the Board of Directors of the Authority and attested by the manual or facsimile signature of the Secretary or Assistant Secretary of the Board of Directors of the Authority, and the official seal of the Authority has been manually impressed, printed or otherwise placed hereon. LA PORTE AREA WATER AUTHORITY - By President, Board of Directors [Authority's Seal) ATTEST: Secretary, Board of Directors 3.02. Form of Registration Certificate of Comptroller of Public Accounts. (To be typed on the Initial Bonds only) REGISTRATION CERTIFICATE OF COMPTROLLER OF PUBLIC ACCOUNTS OFFICE OF THE COMPTROLLER § OF PUBLIC ACCOUNTS § § REGISTER NO . ............ THE STATE OF TEXAS § I HEREBY CERTIFY that there is on file and of record in my office a certificate to the effect that the Attorney General of the State of Texas has approved this Bond, and further that this Bond has been registered this day by me. 038DESAJ/024C02 - -15- • • ~.~ s~ WITNESS my signature and seal of office this ............. .... .......... Comptroller of~Public Accounts of the State of Texas (COMPTROLLER'S SEAL) 3.03. Form of Certificate of Authentication of Paying Agent/Registrar. (To be typed or printed on all Bonds other than the Initial Bonds) CERTIFICATE OF AUTHENTICATION This is one of the Bonds referred to in the within mentioned Bond Resolution. FIRST CITY NATIONAL BANK OF HOUSTON, as Paying Agent/ Registrar Dated :................... By.... ..................... Authorized Signature 3.04. Form of Assignment. ASSIGNMENT FOR VALUE RECEIVED the undersigned hereby sells, assigns and transfers unto (Print or typewrite name, address and zip code of transferee) ..................... ......................................................... ... .. (Social Security or other identifying number :............ ••••• .............................) the within Bond and all rights thereunder, and hereby irrevocably constitutes and appoints .... ....... ..... ... .... .. .... .. .. .. .. .. .. attorney to transfer the within Bond on the books kept for registration thereof, with full power of substitution in the premises. 038DESAJ/024C02 -16- • ~_ . ,~ DATED: NOTICE: The signature on this Signature guaranteed by: assignment must correspond with the name of the registered owner ....................... as it appears on the face of the within Bond in every particular. Section 4. APPLICATION OF BOND PROCEEDS Proceeds from the sale of the Bonds will be dis- bursed in accordance with this Section. 4.01. Deposit into the Bond Fund. $336,000 of the proceeds of the sale of the Bonds, representing capitalized interest, shall be deposited into the Bond Fund. 4.02. Deposit into the Construction Fund. After the deposit referred to in Section 4.01, the remaining proceeds of the sale of the Bonds, as received, shall be deposited into ,the Construction Fund. Of the total deposit, $201,000 shall be deposited into a separate "Construction Contingency Account," and such amount shall be~used solely for the payment of (a) the construction, purchase and acquisition of the Transmission System and the Distribution System to the extent funds in the General Account of the Construction Fund for such purpose are insufficient; or (b) interest on the Bonds if the Authority has insufficient Net Revenues available for such purposes. The remainder of the amount deposited in the Construction Fund shall be deposited into the "General Construction Account" and shall be used for the payment of (x) the expenses incidental to the issuance of the Bonds, including fiscal, legal and engineer- ing fees and expenses, including without limitation expenses incidental to the organization and administration of the Authority, (y) the construction, purchase and acquisition of the Transmission System and the Distribution System and (z) to the extent any Bond proceeds remain after the payment of -- the amounts specified in (x) or (y), the purchase price of an undivided interest in the Southeast Plant;. all to the extent authorized or permitted under applicable law. 4.03. Surplus Construction Funds. If any moneys remain in either the Construction Contingency Account or the General Construction Account of the Construction Fund after completion of the entire Distribution System and Transmi- ssion System and the purchase of an interest in the South- east Plant as provided in the Houston Contract, then the Authority shall return to the Purchaser the amount of such 038DESAJ/024C02 ~ -17- i ~ • r- .. excess to the nearest multiple of the denomination of the Bonds, and the Purchaser shall return to the Authority a like amount of Bonds in inverse numerical order. To the extent any surplus remains after any such cancellation of the Bonds, such surplus shall be deposited into the Bond Fund. Section 5. PLEDGE OF NET REVENUES. The Bonds and any Additional Bonds and the interest on all such bonds are and shall be payable from and secured by an irrevocable first lien on and pledge of the (a) Revenues after deduction of the Operating and Maintenance Expenses; and (b) all moneys and investments on deposit or credited to the Bond Fund or the Reserve Fund; and, subject only to Section 12 hereof, such Net Revenues and such moneys and investments are hereby pledged irrevocably for such purpose and are further pledged irrevocably to the establishment and main- tenance of the Bond Fund, the Reserve Fund, the Rebate Fund and the Contingency Fund. Section 6. RATE COVENANT. The Authority covenants and agrees with the owners of the Bonds and Additional Bonds, if any, that (a) it shall, subject to any restrictions con- tained in the Water Sales Contracts, at all times fix, maintain, charge and collect rates and charges for services rendered by the Authority which will provide Revenues at least sufficient to pay all Operating and Maintenance Expenses and to produce Net Revenues in an amount each year not less than: (1) the average annual principal of and interest on the Bonds and any Additional Bonds at the time outstanding (although amounts shall be paid into the Bond Fund and Reserve Fund only in accordance with Section 7.03 and Section 7.04 -- - hereof) ; and (2) an amount necessary to make all deposits now or hereafter required to be made into the Bond Fund, the Reserve Fund, the Rebate Fund and the Contingency Fund as provided herein or in the resolutions authorizing any Additional Bonds. (b) if the Authority should become legally liable for any other obligations or indebtedness, the Authority shall, to the extent permitted under the Water Supply Contracts, fix, maintain, charge and collect additional 038DESAJ/024C02 -18- • r-" rates and charges for services rendered by the Authority sufficient to establish and maintain funds for th•e payment thereof. Section 7. REVENUES AND FUNDS. 7.01. Creation of Funds. All Revenues shall be kept separate and apart from all other funds of the Authority, and the following special funds ("Funds") shall be established and maintained in an official depository bank or depository banks of the Authority so long as any of the Bonds or any Additional Bonds, or interest thereon, are outstanding and unpaid: (a) La Porte Area Water Authority Revenue Fund (the "Revenue Fund"); (b) La Porte Area Water Authority Bond Fund (the "Bond Fund"); (c) La Porte Area Water Authority Reserve Fund (the "Reserve Fund"); (d) La Porte Area heater Authority Rebate Fund (the "Rebate Fund"); (e) La Porte Area Water Authority Contingency Fund (the "Contingency Fund"); and (f) La Porte Area Water Authority Construction Fund (the "Construction Fund"). 7.02. Revenue Fund. All Revenues of every nature received shall be deposited from day to day as collected into the Revenue Fund, and all Operating and Maintenance Expenses shall be paid from the Revenue Fund upon approval by the Board. The Revenues not actually required to pay - Operating and Maintenance Expenses shall be deposited from the Revenue Fund into the other Funds provided for by this Resolution, in the manner and amounts hereinafter provided, and each of such Funds shall have priority as to such deposits in the order in which they are treated in the following sections. 7.03. Bond Fund. There shall be deposited into the Bond Fund: (a) (i) On or before each interest payment date occurring prior to the first sale of water to 038DESAJ/024C02 ~ -19- .~ the Participants under the Water Sales Contracts (the "Sale of Water"), an amount equal •to such interest payment due on the Bonds, (ii) on or before the 25th day of each month occurring after the Sale of Water but prior to the first interest payment date to occur after the Sale of Water, an amount which is not less than a fraction of the next interest payment due on the Bonds, such fraction to have a numerator of one and a..denomi- nator equal to the number of monthly deposits to be made pursuant to this Section 7.03(a)(ii), and (iii) on or before the 25th day of each month thereafter, an amount which is not less than one-sixth (1/6) of the next interest payment due on the Bonds; and (b) On or before the 25th day of December, 1990, and on or before the 25th day of each month thereafter, an amount which is not less than one-twelfth (1/12th) of the principal of the Bonds maturing on the next December l; provided, however, such deposits shall be reduced by any amount already on deposit in the Bond Fund that is, by virtue of this Resolution, to be applied to the payment of debt service on the Bonds. Amounts in the Bond Fund shall be used to pay the principal of, premium, if any, and interest on, the Bonds and any Additional Bonds, as such principal matures and such interest becomes due. In no event shall any amount in excess of the amounts stated above be placed in the Bond Fund for the payment of the principal of, premium, if any, or interest on the Bonds and Additional Bonds, if any, and any amount so placed may be withdrawn by the Authority and replaced in the Revenue Fund. --- 7.04. Reserve Fund. There shall be deposited into the Reserve Fund on or before the 25th day of each month occurring after the Sale of Water, an amount not less than one sixtieth (1/60) of the average annual principal and interest requirements on the Bonds, to the end that there shall be accumulated in the Reserve Fund within sixty-one (61) months from the date of delivery of the Bonds an amount not less than the average annual principal and interest requirements for the Bonds; provided, however, that (i) on each debt service payment date (other than the penultimate debt service payment date) when the Reserve Fund Amount de- creases, the amount in the Reserve Fund on such date (after 038DESAJ/024C02 ~ -20- • ~ • ~... ., the application of any amount needed that day to pay prnci- pal or interest then due) accumulated pursuant to•this Resolution in excess of the decreased Reserve Fund Amount shall be withdrawn from the Reserve Fund, deposited into the Bond Fund and applied to the payment of debt service on the Bonds on the next debt service payment date or dates until so applied; and (ii) on the penultimate debt service date all of the amount in the Reserve Fund accumulated pursuant to this Resolution (after the application of any amount needed that day to pay interest then due) shall be withdrawn from the Reserve Fund, deposited into the Bond Fund and applied to the payment of debt service on the Bonds on the last debt service payment date. At no time shall the Authority be required to deposit in the Reserve Fund proceeds (as such term is defined in the Code) of the Bonds or any Additional Bonds if and to the extent such deposit would adversely affect the exclusion from gross income for federal income tax purposes of the interest on the Bonds. No deposits shall be required to be made into the Reserve Fund by virtue of this Resolution as long as the Reserve Fund shall contain the aggregate of the amounts required to be deposited therein by reason of this Resolution and the resolutions authorizing any Additional Bonds, but if and wherever the Reserve Fund is reduced below said aggregate amount, the aforesaid monthly deposits into the Reserve Fund shall be resumed and continued until such time as the Reserve Fund has been restored to said aggregate amount. The Reserve Fund shall be used to pay the principal of, or interest on, the Bonds and any Additional Bonds, at any time when there is not sufficient money available in the Bond Fund for such purpose. Any obligation in which money in the Reserve Fund is invested shall be kept and held in an official depository bank of the Authority in escrow and in trust for the benefit of the holders of the Bonds and any Additional Bonds, and shall be promptly sold and the proceeds of sale applied to the making of all payments required to be made from the Reserve Fund. 7.05. Rebate Fund. The Rebate Fund is hereby established by the Authority for the benefit of the United States of America and the Authority, as their interests may appear pursuant to this Resolution. There are hereby established within the Rebate Fund two separate accounts to be known as the Deposit Account and the Earnings Account. (a) Earnings Account. As of each annual anniver- sary date of the issuance of the Bonds, the Authority shall pay into the Earnings Account of the Rebate Fund out of legally available funds an amount equal to the 038DESAJ/024C02 -21- • ~,.,. ,.~ aggregate income (determined in accordance with federal income tax accounting principles) attributable to the amounts in the Deposit Account of the Rebate Fund for the period ending on such annual anniversary date of the issuance of the Bonds and beginning on the immedi- ately preceding annual anniversary date of the issuance of the Bonds. Such amount is to be withdrawn from the Deposit Account or may, at the election of the Authority, be paid from other funds legally available therefor. An annual anniversary date for the Bonds shall include the first date on which all of the Bonds have been retired. (b) Payments into the De osit Account. The Authority shall pay, as of each annual anniversary date of the issuance of the Bonds and immediately after the payment to the Earnings Account of the Rebate Fund on such date, into the Deposit Account of the Rebate Fund out of funds legally available therefor the amount, if any, which is required to increase the amount on deposit in the Deposit Account to the Tentative Rebate Amount as of such annual anniversary date. On such annual anniversary date, any amount on deposit in the Deposit Account in excess of the Tentative Rebate Amount shall be withdrawn from the Deposit Account and deposited into the Revenue Fund. For these purposes, the Tentative Rebate Amount as of a date is the amount described in Section 148(f)(3)(A) of the Code with respect to the Bonds determined as of such date, which shall be determined in accordance with Temp. Treas. Reg. Section 1.103-15AT(d)(1) and any applicable regulations that are issued hereafter. An annual anniversary date for the Bonds shall include the first date on which all of the Bonds have been retired. (c) Disbursement of the Rebate Fund. The amounts in the Rebate Fund shall be used solely for the payment --- to the United States of amounts described in Section 148(f)(2) of the Code and the regulations thereunder all as may be applicable to the Bonds. Such payment shall be made by the Authority in accordance with the requirements of Section 148(f)(3) of the Code and the regulations thereunder. The first installment of such payment is to be made by the Authority within thirty days after the fifth annual anniversary date of the issuance of the Bonds, with each subsequent installment of such payment to be made within five years after the time at which the next preceding installment was required. The last installment of such payments is to 038DESAJ/024C02 -22- • • .~ r"---- be made by the Authority within 60 days after the final retirement of all of the Bonds. (d) Rebate Fund Records. The Authority shall maintain a record of its periodic determinations of the Tentative Rebate Amount until six years after the final retirement of all of the Bonds. Such records shall summarize the manner in which the Tentative Rebate Amount, if any, was determined on each date of-deter- mination. (e) No Prohibited Payments. The Authority covenants and agrees with the holders of the Bonds not to make a prohibited payment, within the meaning of Temp. Treas. Reg. Section 1.103-15AT(d)(6), with respect to the Bonds. A prohibited payment includes the payment, or agreement to pay, to a party other than the United States, an amount that is required to be paid to the United States pursuant to Section 148(f)(3) of the Code by entering into a transaction that results in a smaller profit or a larger loss than would have resulted if the t"ransaction had been at arms' length and if the yield on the issue had not been relevant to either party; provided, however, that the direct purchase of United States Treasury obligations from the United States Treasury is not a prohibited payment. The investment of bond proceeds in certificates of deposit may, as provided in Temp. Treas. Reg. Section 1.103-15AT(d)(6)(ii), be a prohibited payment. The Authority covenants and agrees to maintain such records as may be necessary to establish the absence of any prohibited payment. (f) Amendment. The provisions of this Section 7.05 may be amended by the Authority upon the receipt of an opinion of bond counsel selected by the Authority that such amendment will not adversely affect any exclusion from gross income of interest on the Bonds. 7.06. Contingency Fund. The Authority agrees to cause to be deposited to the Contingency Fund, commencing upon the Sale of Water, from available Net Revenues, monthly amounts equivalent to at least $2,083.33 until there has been accumulated in said Fund a total sum (the "Minimum Contingency Fund Balance") equal to $100,000. After the Minimum Contingency Fund Balance has been accumulated, and during such time as there is on deposit in the Contingency Fund the Minimum Contingency Fund Balance, the aforesaid monthly deposits to the Contingency Fund from the available 038DESAJ/024C02 -23- • ~ • ~,~ .~ Net Revenues maybe suspended. Any amounts deposited into the Contingency Fund in excess of the Minimum Contingency Fund Balance shall be at the sole discretion and determina- tion of the Authority. Deposits to the Contingency Fund from available Net Revenues shall be subject to and contingent on the availability of moneys after the payment of all amounts required to be deposited to the Bond Fund, the Reserve Fund and the Rebate Fund. All moneys deposited and. credited to the Contingency Fund may be used for any one or more of the following purposes: (a) Transfers to the Revenue Fund for payment of Operating and Maintenance Expenses; (b) Transfers to the Revenue Fund for payment of costs and expenses of replacing, reconstructing or repairing damaged or destroyed properties of the Transmission System or the Distribution System, when such damage or destruction was a result of-a cata- strophic event, including, without limitation, acts of God, acts of public enemies, civil disturbances, explosions, fires, floods, landslides, lightning, earthquakes, hurricanes, storms, tornadoes or other similar causes or events, and the proceeds, if any, of insurance are insufficient to pay the cost of replac- ing, reconstructing or repairing such damaged or destroyed property or properties; or (c) Paying the principal of, premium, if any, and interest on the Bonds or any Additional Bonds on any maturity, redemption or interest payment date when moneys in the special funds created solely for the payment and security thereof are insufficient to make a required payment on the Bonds or any Additional Bonds, either or both. 7.07. Deficiencies. If in any month the Authority shall fail to deposit into any Fund provided for by this Resolution the full amounts required, amounts equivalent to such deficiencies shall be set apart and paid into said Funds from the first available and unallocated Net Revenues of the following month or months, and such payment shall be in addition to the amounts otherwise required to be paid into said Funds during such month or months. To the extent necessary, the Authority shall increase the rates and charges for its services to make up for any such deficiencies. 038DESAJ/024C02 -24- • ~ i r-- .. 7.08. Surplus Funds. Notwithstanding the pro- visions of Section 5 hereof, Net Revenues in excess of those necessary to establish and maintain the Funds required in this Resolution may be used for any purpose now or hereafter authorized by law. 7.09. Investment of Certain Moneys. Moneys in the Bond Fund, the Construction Fund, the Reserve Fund and the Rebate Fund may, upon authorization by the Board of Directors, be invested in (a) Government Obligations and (b) certificates of deposit of any bank or trust company whose deposits are insured by the Federal Deposit Insurance Corporation or the Federal Savings and Loan Insurance Corporation, provided that such certificates of deposit, to the extent that they exceed the amounts covered by such insurance, are fully secured in the manner required by law; provided, however, that any investment in a certificate of deposit may not be a prohibited payment, within the meaning of Treas. Reg. § 1.103-15AT(d)(6), if at the time of such investment Treas. Reg. § 1.103-15AT(d)(6) is applicable to the Bonds. Any obligation in which moneys from any Fund are so invested shall be kept and held at an official depository bank of the Authority and shall be promptly sold and the proceeds of sale applied to the making of any payments required to be made from such Fund. All such investments shall at all times be a part of the Fund from which the moneys used to acquire said investments shall have come. All earnings on such investments shall be credited to, and losses thereon charged against, such Fund; provided, however, when the Bond Fund, the Reserve Fund or the Contingency Fund contains the full amount required at the time to be in such Fund, any earnings shall be deposited in the Revenue Fund. Notwithstanding any provision hereof to the contrary, any investment of moneys in the Bond Fund shall be made so as to mature or be subject to redemption at the option of the owner or holder thereof on or prior to the date or dates on which money therefrom will be required. All Funds provided for by this Resolution shall be secured in the manner and to the fullest extent required by law for the security of public funds, and such Funds shall be used only for the purposes and in the manner permitted or required by this Resolution. 038DESAJ/024C02 -25- ~.' n Section 8. ADDITIONAL BONDS. 8.01. Generally. The Authority expressly re- serves the right hereafter to issue additional parity bonds and other evidences of indebtedness now or hereafter autho- rized by the Legislature of Texas (collectively, "Additional Bonds"), and Additional Bonds, when issued, may be secured by and payable from a first lien on and pledge of the Net Revenues in the same manner and to the same extent as are the Bonds; and the Bonds authorized herein and the Additional Bonds shall in all respects be of equal dignity. It is provided, however, that no installment or series of Additional Bonds shall be issued pursuant to this Section 8.01 unless: (a) A certificate is executed by the President of the Board and the General Manager of the Authority to the effect that no default exists in connection with any of the covenants or requirements of this Resolution or the resolutions authorizing the issuance of all Additional Bonds then outstanding; (b) A certificate is executed by the President of the Board and the General Manager of the Authority to the effect that the Bond Fund, the Reserve Fund and the Contingency Fund each contain the amount then required to be on deposit therein; (c) At the time of the adoption of the resolution authorizing the issuance of Additional Bonds, the Net Revenues for the most recent complete fiscal year, as certified by a Certified Public Accountant or firm of Certified Public Accountants, were equal to at least 1.2 times the average annual principal and interest requirements for all Bonds and Additional Bonds then outstanding and for the series of Additional Bonds then proposed to be issued; provided, however, should the certificate of the accountant certify that the Net Revenues for the period covered thereby were less than required above, and a change in the rates and charges for services provided by the Authority pursuant to the Water Sales Contracts became effective at least 60 days prior to the scheduled date of adoption of the resolu- tion authorizing such Additional Bonds, then such Additional Bonds may nevertheless be issued if an independent engineer or engineering firm having a favorable reputation with respect to such matters certifies that, had such change in rates and charges been effective for the period covered by the 038DESAJ/024C02 -26- ~ ~ ~~ n accountant's certificate, the Net period covered by the accountant's have met the test specified above; (d) The Additional Bonds are December 1 in each of the years in scheduled to mature. Revenues for the certificate would and made to mature on which they are 8.02. Completion Indebtedness. The Authority reserves the right to issue Additional Bonds on a parity in all respects with the Bonds secured by a first lien on and pledge of Net Revenues in the same manner and to the same extent as are the Bonds. Such Additional Bonds may be issued without complying with the provisions of Section 8.01 (a), (b) or (c), provided that such Additional Bonds are issued solely for the purpose of providing the financing for (a) amounts payable under the Houston Contract to purchase the initial undivided interest in the Southeast Plant; and (b) the completion of the initial Distribution System and the Transmission System as contemplated by the Water Sales Contracts. Any such Additional Bonds shall be made to mature on December 1 in the years in which they are scheduled to mature. 8.03. Refunding Bonds. The Authority reserves the right to issue Additional Bonds on a parity in all respects with the Bonds to refund all or any part of the Bonds, Additional Bonds or other indebtedness of the Author- ity then outstanding (pursuant to any applicable law then in effect) upon such terms and conditions as the Board of Directors may deem to be in the best interest of the Author- ity. Any such Additional Bonds shall be made to mature on December 1 in the years in which they are scheduled to mature. Additionally, if (a) the Additional Bonds are being issued to refund obligations of the Authority other than the Bonds or Additional Bonds, or (b) the total debt service for all Bonds and Additional Bonds (assuming the issuance of the refunding Additional Bonds proposed to be issued and the defeasance of the Bonds or Additional Bonds proposed to be defeased in such refunding) in any fiscal year through the final fiscal year in which Bonds or Additional Bonds not refunded are to mature shall be greater than the total annual debt service for all Bonds and Additional Bonds had such refunding not occurred, then the conditions specified in Sections 8.01 (a), (b) and (c) shall also be satisfied. 8.04. Inferior Lien Obligations. Nothing contained in this Resolution shall prohibit or prevent, or be deemed or construed to prohibit or prevent, the Authority 038DESAJ/024C02 ~ -27- ~~ n from authorizing and issuing bonds, notes, certificates, warrants or other evidences of indebtedness for any corporate use or purpose payable as to principal, premium, if any, and interest from the Net Revenues subject and subordinate to the deposits and credits required to be made from the Net Revenues to the Bond Fund, Reserve Fund and the Rebate Fund or from securing such bonds, notes, certificates, warrants or other evidences of indebtedness and the payment thereof by a lien on and pledge of the Net Revenues junior and inferior to the lien on and pledge of the Net Revenues herein created for the payment and security of the Bonds and any Additional Bonds. 8.05. Separate System Projects. Nothing in this Resolution shall be construed to deny the Authority the right and it shall retain the right to issue bonds, notes, warrants, certificates or other obligations or evidences of indebtedness to finance the costs of any project or facil- ities, which revenues, records and accounts of such project or facilities are kept and maintained separate and apart from the Revenues, records and accounts of the Transmission System, the Distribution System and the Houston Contract, and the obligations issued to finance the costs thereof are payable solely from the revenues or other income derived from the ownership or operation of such separate system project or facilities; provided, however, the Authority will not issue bonds, notes, warrants, certificates or other obligations or evidences of indebtedness for the purpose of acquiring or constructing such separate system project or facilities unless and until a report has been obtained from an independent engineer which concludes that (i) the plan for developing the separate system project or facilities is consistent with sound planning and the separate system project or facilities would not materially and adversely interfere with the operation of the Transmission System, the Distribution System and the Authority's interest in the Southeast Plant, and (ii) the separate system project or fa- cilities can be economically and efficiently operated and maintained. 8.06. Indebtedness Not Payable from Revenues. The Authority reserves the right to authorize and issue bonds, notes, certificates, warrants or other evidences of indebtedness for any corporate use or purpose if such bonds, notes, certificates, warrants or other evidences of indebtedness are not secured by or payable from Revenues, Net Revenues or any revenues or funds pledged to the payment of the Bonds and are not secured by the Transmission System, the Distribution System or the Authority's interest in the 038DESAJ/024C02 -28- • ~.~ .. Southeast Plant, but rather from some other source of funds available to the Authority. Section 9. REPRESENTATIONS AND COVENANTS OF THE AUTHORITY 9.01. Maintenance and Insurance. While any of the Bonds or any Additional Bonds are outstanding, the Authority covenants and agrees to maintain the Transmission System and the Distribution System in good condition and operate the same in an efficient manner and at a reasonable cost. So long as any of the Bonds or any Additional Bonds are outstanding, the Authority agrees to maintain insurance on the Transmission System and the Distribution System, of a kind and in an amount which usually would be carried by private companies engaged in a similar type of business in the same area. .This Resolution shall not be construed as requiring the Authority to expend any funds which are derived from sources other than Revenues, but nothing herein shall be construed as preventing the Authority from doing so. -~ 9.02. Books and Records. The Authority shall keep proper books of records and accounts, separate from all other records and accounts, in which complete and correct entries shall be made of all transactions relating to the Revenues, the Authority's undivided interest in the Southeast Plant, the Transmission System and the Distribution System. Upon written request made not more than 90 days following the close of the fiscal year, the Authority shall furnish to any registered owner of any of the Bonds or any Additional Bonds, complete financial statements in reasonable detail covering such fiscal year, certified by the Authority's auditor. Any registered owner or owners of the Bonds or any Additional Bonds at the time outstanding shall have the right at all reasonable times to inspect the Transmission System and the Distribution System - and all records, accounts and data of the Authority relating thereto. 9.03. General Representations and Covenants. The Authority hereby further represents and covenants as follows: (a) That it has the lawful power to pledge the Net Revenues and the Funds pledged hereunder and has lawfully exercised the power under the Constitution and laws of the State of Texas, including said power existing under the Act and Chapter 54 of the Texas Water Code, as amended; 038DESAJ/024C02 ~ -29- • ~.. .~ and that the Bonds issued hereunder shall be ratably secured, together with any Additional Bonds, by said pledge of revenues in such manner that one bond shall have no preference over any other bond. (b) That, other than for the payment of the First Series of Bonds and the Bonds herein authorized, neither the Revenues nor the Net Revenues have been pledged in any manner to the payment of any debt or obligations of .the Authority. (c) That, so long as any of the Bonds or Addi- tional Bonds remain unpaid, the Authority will .not sell or encumber the Revenues, the Authority`s undivided interest in the Southeast Plant, the Transmission System and the Distribution System or any substantial part thereof, and that it will not encumber the Net Revenues thereof unless such encumbrance is made in accordance with the terms of this Resolution or is junior and subordinate to all of the provisions of this Resolution. (d) That the Authority has obtained, caused to be obtained or will obtain, and will comply with the terms and conditions of, all franchises, permits and authorizations from any governmental agency applicable to or necessary with respect to the Authority and its operations, and it will keep all such franchises, permits and authorizations in full force and effect. 9.04 Tax Covenants. The Authority covenants and agrees with the holders of the Bonds as follows: A. In General. (a) No action will be taken, and there will be no omission of an action, which act or omission will adversely affect any exclusion from gross income for federal income tax purposes of interest on the Bonds, and, in particular, there will be compliance with those provisions of Section 103 and Section 141 through I50 of the Code that affect the exclusion from gross income for federal income tax purposes of the interest on the Bonds. (b) The Authority will use the proceeds of the Bonds in the manner described in this Resolution except to the extent that any variation from such provisions that is permitted by applicable law will not adversely affect the 038DESAJ/024C02 ~ -30- • • ~.. .~ exclusion from gross income for federal income tax purposes of interest on the Bonds, and will not enter into•any contract (or other arrangement) for the sale of water from its undivided interest in the Southeast Plant that will adversely affect the exclusion from gross income for federal income tax purposes of the interest on the Bonds. (c) The Authority will not use or invest the proceeds of the Bonds or any other amounts or any investment earnings thereon in a manner that will result in the Bonds becoming "arbitrage bonds", within the meaning of Section 148 of the Code. The Authority will not invest an amount of the proceeds of the Bonds in the Reserve Fund or in any reasonably required reserve or replacement fund if the amount of proceeds so invested is, in the aggregate, in excess of 10 percent of the proceeds of the Bonds, within the meaning of Section 148(d)(2) of the Code. (d) The Authority shall comply with the pro- visions of Section 148- of the Code with respect to arbitrage rebate as they apply to the Bonds. - (e) The Authority shall not invest any of the proceeds of the Bonds in a manner that would be a prohibited payment, within the meaning of Treas. Reg. § 1.103-15AT(d)(6), so long as such regulation is applicable to the Bonds. (f) The Authority shall not take, or omit to take, any action if such action or omission would cause the Bonds to be federally guaranteed, within the meaning of Section 149(b) of the Code. (g) The Authority will comply with the requirements of Section 149(e}(2) of the Code, requiring information regarding the Bonds to be filed with the Internal Revenue Service within prescribed time limits. B. Private Activity Bond Covenants. The Bonds are not, and will not be, private activity bonds, within the meaning of Section 141 of the Code. C. No Arbitrage Covenant. The Bonds are not, and will not be, arbitrage bonds, within the meaning of Section 148 of the Code. D. Survival. The provisions of this Section 9.04 shall survive, notwithstanding any provision of this 038DESAJ/024C02 ~ -31- • ~ • r~ ~ Resolution to the contrary, the payment, any provision for payment, or any defeasance of one or more of the Bonds. 9.05 Final Accounting. The Authority covenants and agrees that upon com- pletion of the Transmission System and the Distribution System, the proper officials of the Authority shall cause to be prepared and submitted to the Purchaser: (a) a final accounting of the total costs of the Transmission System and the Distribution System and the expenditure of funds therefor; and (b) a copy of the final construction plans for the Transmission System and the Distribution System as built and completed. In addition to containing any information reasonably required by the Purchaser, such final accounting shall identify all funds utilized or represented to be-available in the Authority's application from whatever source derived and all project costs approved in subsequent change orders. Section 10. LIMITED OBLIGATIONS. The Bonds are special obligations of the Authority payable solely from the revenues and funds pledged hereunder, and the registered owners thereof shall never have the right to demand payment thereof out of any other revenues or properties of the Authority, or out of funds raised or to be raised by taxation by the Authority, the City of La Porte, Texas, the State of Texas or any subdivision of any of them. Section 11. DEFAULT PROVISIONS 11.01. Remedies of Registered Owners. In addition to all rights and remedies of any registered owner of the Bonds provided by the laws of the State of Texas, the Authority and the Board covenant and agree that in the event the Authority defaults in the payment of the principal of or interest on any of the Bonds when due, fails to make the payments required by this Resolution to be made into the Bond Fund, or defaults in the observance or performance of any of the covenants, conditions or obligations set forth in this Resolution, the registered owner of any of the Bonds shall be entitled to a writ of mandamus issued by a court of proper jurisdiction compelling and requiring the Board and other officers of the Authority to observe and perform any covenant, obligation or condition prescribed in this 038DESAJ/024C02 -32- ~ - ~ ~~ .- Resolution. No delay or omission by any registered owner to exercise any right or power accruing to him upon default shall impair any such right or power, or shall be construed to be a waiver of any such default or acquiescence therein, and every such right or power may be exercised from time to time and as often as may be deemed expedient. The specific remedies mentioned in this Resolution shall be available to any registered owner of any of the Bonds and shall be cumulative of all other existing remedies. 11.02. Resolution is Contract. In consideration of the purchase and the acceptance of the Bonds authorized to be issued hereunder by those who shall hold the same from time to time, the provisions of this Resolution shall be deemed to be and shall constitute a contract between the Authority and the registered owners of the Bonds, and the covenants and agreements herein set forth to be performed on behalf of the Authority shall be for the equal benefit, protection and security of the registered owners of any and all of the Bonds, all of which, regardless of the time or times of their issue or maturity, shall be of equal rank without preference, priority or distinction except as expressly provided herein. Section 12. DEFEASANCE. Any Bond shall be deemed to be paid and shall no longer be considered to be a "Bond" within the meaning of this Resolution when payment of the principal of and interest on such Bond to maturity or to the date fixed for redemption (notice of which shall have been given or waived) shall have been made or provided for by depositing with the Treasurer of the State of Texas or with the Paying Agent/Registrar, (i) moneys sufficient to make such payment or (ii) moneys and Government Obligations certified by an independent public accounting firm of national reputation to be of such maturities and interest payment dates and to bear such interest as will, without further investment of the principal thereof or the interest thereon, be sufficient to make such payment, provided that all the expenses pertaining to the Bonds with respect to which such deposit is made shall have been paid or the payment thereof provided for to the satisfaction of said State Treasurer or the Paying Agent/Registrar, as the case may be. At such times as a Bond shall be deemed to be paid hereunder, as aforesaid, it shall no longer be entitled to the benefits of this Resolution, except for the purposes of any such payment from such moneys or Government Obligations and for the transfer, exchange or replacement of such Bond as provided in Sections 2.05 and 2.09 hereof prior to maturity or redemption. If money and/or Government 038DESAJ/024C02 ~ -33- • • ~~ Obligations are deposited with the Paying Agent/Registrar sufficient to make such payment with respect to some, but not all, of the Bonds, the Authority shall designate the Bonds with respect to which such deposit is.made. Section 13. SUBMISSION AND REGISTRATION OF BONDS. The President or Vice President of the Board of Directors of the Authority is hereby authorized and directed to submit, or cause to be submitted, the record of the Bonds, the Water Sales Contracts and the Initial Bonds, to the Attorney General of the State of Texas for examination and approval and thereafter cause the Bonds to be registered by the Comptroller of Public Accounts of the State of Texas. Upon said registration of the Initial Bonds, said Comptroller of Public Accounts (or a deputy designated in writing to act for said Comptroller) shall manually sign the Comptroller's Registration Certificate prescribed herein to be printed and endorsed on each Initial Bond, and the seal of said Comptroller shall be impressed, printed or lithographed on each of the Initial Bonds. The President, Vice President and Secretary of the Board of Directors and other appropriate officers of the Authority are hereby further authorized and directed to do any and all things necessary or convenient to carry out the provisions of this Resolution. Section 14. SALE OF BONDS. The sale of the Bonds to the Texas Water Development Board, at a price equal to the principal amount of the Bonds, is hereby authorized, approved, ratified and confirmed. It is hereby found and determined by the Board of Directors that the sale and delivery of the Bonds is in the best interest of the Authority and that the price and other terms for the purchase of the Bonds are the most advantageous reasonably available to the Authority. The Board hereby finds and determines that the net effective interest rate of the Bonds, as calculated pursuant to Article 717k-2, V.A.T.C.S., as amended, and assuming delivery of the Bonds on March 1, 1989, is 6.8876$. Section 15. MISCELLANEOUS PROVISIONS. 15.01. Successors and Assi ns. Whenever in this Resolution the Authority is named and referred to, it shall be deemed to include its successors and assigns, and all covenants and agreements in this Resolution made by or on behalf of the Authority shall bind and inure to the benefit of its successors and assigns whether or not so expressed except to the extent otherwise provided in this Resolution. 038DESAJ/024C02 -34- r_~.. 15.02. No Recourse Against Authority Officers. No recourse shall be had for the payment of the principal of or the interest cn the Bonds or for any claim based thereon or on this Resolution against any officer of the Authority or any person executing the Bonds. 15.03. Paying Agent/Registrar May Own Bonds. The Paying Agent/Registrar, in its individual or any other capacity, may become the owner or pledgee of the Bonds with the same rights it would have if it were not Paying Agent/Registrar. 15.04. Legal Holidays. In any case where the date of maturity of the principal of or interest on the Bonds or the date fixed for redemption of any Bonds shall be (a) a legal holiday in the city of the principal office of the Paying Agent/Registrar or (b) a day on which banking institutions are authorized by law to close in such city, then payment of interest or principal need not be made on such date but may be made on the next succeeding day not a legal holiday or day on which banking institutions are authorized by law to close in such city with the same force and effect as if made on the date of maturity or the date fixed for redemption and no interest shall accrue for the period from and after such date. 15.05. Benefits of Resolution Provision. Nothing in this Resolution, expressed or implied, shall give or be construed to give any person, firm or corporation, other than the Authority, the Paying Agent/Registrar and the registered owners of the Bonds, any legal or equitable right or claim under or in respect of this Resolution or under any covenant, condition or provision herein contained, all the covenants, conditions and provisions contained in this Resolution being for the sole benefit of the Authority, the Paying Agent/Registrar and the registered owners of the Bonds. 15.06. Interpretations. The titles and headings of the Sections of this Resolution have been inserted for convenience of reference only and are not to be considered a part hereof and shall not in any way modify or restrict any of the terms and provisions hereof. This Resolution and all the terms and provisions hereof shall be liberally construed to effectuate the purposes set forth herein and to sustain the validity of the Bonds herein authorized and the validity of the lien on and pledge of the revenues from which the Bonds are payable. 038DESAJ/024C02 ~ -35- ~ ~ r~ n 15.07. Effective Date of Resolution. This Resolution shall take effect and be in full force•and effect from and after its passage. PASSED AND APPROVED this the day of 1989. President, Board of Directors, La Porte Area Water Authority ATTEST: Secretary, Board of Directors, La Porte Area Water Authority (SEAL) 038DESAJ/024C02 -36- ~~, II`` / j ~i~ 0 z T 1 ~• ~• ~' I~ < ~ ~: ~ ~ N ~ m vl~a xy A y 2 • ~~U~ ~ ^~ ~ /V .A y ~ C "'1` ~ U w ~: ~ ~ ..i .~1• Q ~ A 3 0. y$ A Y r L~"' ~ N ,~ {It .: a' ,~ '~ • .~ a~ ~ ~ 9~ Y ^ A m s .: 9 N a ~i ~ r s k •: 5 N A a ~I ~~ t1 0 ~s {ly ~I• r R = ' ~9 a Y V ~ 0 U • ~ . ~~ ./ • • M 1 r • I r O..• / 1 • 1 • 1 O• a ~ •O ~ A N a A M /h N M M r N M • N M 1 N e'1 1 N M~ N N( MM 1~ t 1 t 1 ~ N • • • • M • O I N / P 1 r •p t 0• 1 1 1// ~ +1 W ~ N w r N !w a r O• .~ ~ N pp • N 1 N I p N I N 1 1 1// • • • •• • ~: ~O 1 P 1 /!• • I N • 1 1 1 r 1 r l y • M N •11 M = r . O M • A w tT r /. a• r • I q r 1 • r 1 •10 r 1 1 1 O wr 1 •• 1 •• r r w . r I p 1 ~ 1 0 1 1 1 a 1 .p .O 1 •/ .A O• ~ ~ 'r ~+ N O t~ T N /h r _ N N 1 •~ 1 N / 1R 1 1 1 y I N y1 1 .. I N 1 N 1• • 1 1 p ~1 1 1 1 M P r O ..• O• •0 ~ PI • N P 1 yl • 1 P 1~ 1 1 • N1 p. IR 1 1 t Q. O .. I p 1 .0 //+ 1 / 1 1 1 1 1 1 • y .O N T ~• N r ~ .r J M w 1 1.1 r I 1.1 r M 1 .~ 1 1 1 t 1 1 1 1 w~l I /b •V / 1 1 • 1 1 1 1 / 1 • r A ~ .O O N N I y •A 1 1 1 1 1 • 1 t 1 1 1 ~ ~ r /lp l 1 t 1 1 1 1 1 1 1 1 1 1 ~. h. O• •D r y1 •H I 1 1 1 1 1 1 1 1 1 1 1 1 /M M ~ N • •~ • N • O M N O r A H !1 F ~O • N A N N N NN II1 •11 hr NNN Y• N r+lnu N • .~ •w r .~ M • • ... N N M . p Ij• ~ O• .O r' • • ~ M O .. A .~ • t1 ~ a y V r 4 ~ ie C '~` t3 JN w~ ~a~ ~ ~~~ 1~~'• ~~ ~ 8 j/ ~ r i1 N 011/A RCN M IL N ~•+ w../ ~/l••O ••1 Nl+p•wNJ (~ .. __. ESPEY, ~~~ ~ HUSTON & ~`~ ASSOCIATES, INC. f c::!...' Engineering & Environmental Consultants February 1, 1989 Mr. Jack Overton, P.E. Chief, Engineering Section Texas ~Yater Development Board P. O. Box 13231, Capitol Station Austin, Texas 7 87 1 1-3 23 1 RE: Proposed Surface Water Supply Transmission Facilities, La Porte Area Water Authority FFR_z,--~ ~D EH&A Sob No. 10790-29 Dear Mr. Overton: The anticipated expenditures for the above referenced water supply project are listed as follows: Construction of Waterlines 53,515,780.50 Legal and Fiscal Fees 138,000.00 Contingencies 269, 534.06 R.O.W. Acquisition 42,845.64 Engineering 485,839.80 Capitalized Interest 33b,000.00 Texas Water Comm Application Fee _ 12,000.00 TOTAL ESTIMATED PROJECT COST 54,800,000.00 The sources of available funds are as follows: Sale of Bonds to Texas Water Dev. Board 54,800,000.00 TOTAL AVAILABLE FUNDS 54,800,000.00 It is our opinion that adequate funds aze available to complete the project in accordance with the plans and specifications as approved by the Texas Water Development Board. Sincerely, a e Conger, P. Project Manag Iiouston Division ~~ ,. DC/sll cc: Mr. Robert Herrera, General ~Sanal;er Mr. Steve Gillett, City of La Porte i • r-- .. . ~ • • U PCBIE /~~£A WAIZSZ ALT802,::Y . 34,800,000 itAlLZ SOPPLY CCtI:RA~LZ 10zPLNU3 EO:iDS, StR II 1Baa DE,ES S}3tQICE SCC9ElDULL DA=d P~IF~IPAL C~iJP021 252 tE&IC)D SOTAL FI"^ L 20TAL 6/ 1/ii ~ 1!~ i1,2a4.3i a1,284.38 6/ i/90 162,568.73 162,568.73 243,833.13 22/ 2190 162,568.75 162,568.75 S/ 2/91 162,568.73 162,588.75 325,137.50 162,368.73 162,568.75 2.2,1 1191 6/ 1192 182,568.73 162,588.75 325.137.30 162,568,75 182,568.75 Z.'.l 1/92 6/ 1/93 73,000.00 3.150000 162,568,75 237,568.75 400,137,30 SL 1193 80,000.00 5.350000 160,637,30 180,837.30 160,637.50 240,837.50 401,273.00 6/ 1/94 L! 1/94 83,000.00 5.550000 138,497.50 158,497.50 158,497.50 243,497.50 401 095 00 Q/ 1/9S 121 2/93 05,000.00 5,750000 356,139,73 :56 138 )3 135,238.75 Z , . 6/ 1196 , . 5.,178.75 +07,277.:0 153,407,50 133,407.50 1Z/ 2/06 6/ 1/07 100,000.00 5.950000 153,407.50 253,407.50 406,915.00 '=~ 1/97 ' 105,000.00 6.100000 250,432.50 150,432.50 150,432.50 253,432.30 405 865 00 ° / 1/98 12/ 2/98 125,000.00 6.250000 147,230.00 147,230.00 147,2!0.00 262,230.00 , . 400,460.00 6/ 2199 121 1/94 120,000.00 6.400000 143,636.25 143 676 25 143,636.25 °/ I/ 0 , . 263,036.25 407,272.50 L'/ 1/ 0 130,000.00 6.500000 139,7fld.2S 130,796.?S 130,708.25 269,796.25 000 592 50 6/ 1/ 1 135,371.25 275,571.5 , . 12! 2/ 1 ff/ 1/ 2 140,000.00 6,600000 175,571,:5 275,571.25 4:1,142.50 I.2/ 2! 2 150,000.00 6,700000 130,951.25 250,931.23 130,951.25 290,951.25 411 902 50 ff/ 11 3 12/ 2/ ! 160,00:.00 6.900000 125,926.25 125,926.25 125,926.25 285,926.25 , . 411,52.50 E/ 2/ t I2.~ 1/ 4 170,000.CO 6.950000 '?0,486,25 '?6,<Bo,25 120,a9b,25 290,686.25 410 972 50 o/ 11 5 i2/ I/ 3 165,000.00 6.800000 :14,663.75 114,663,75 114,663.73 299,663,75 , , 414 327 50 6/ 21 8 108.281.23 309,291.25 , , 1/ 8 at 1/ 7 195,000.00 6.950000 100,291.25 303,261.25 41:,382.50 32; 1t 7 210,000.00 0.950000 lol,sos.oo 101,505.00 lol,sos.oo 311,505.00 c23 o10 00 °/ 1t i ZZt 1/ a 225,000,00 6.950000 04,207,50 94 261 50 94,207.50 , . , . 319,207.50 413,4:5.00 6. '/ 9 _ ': / 1/ 9 240,000.00 6.950000 88,398.75 86,388.73 8E,388,73 326,388.75 412 777 50 al 1/10 22J 1/30 235,000.00 7,000000 78,048,75 78,048,75 79,040.75 333 048 73 , . 421 097 61 ull , , , ,30 69,123.75 69,123.75 221 1111 6/ 1112 275,000.00 7.000000 69,12].75 344,123,75 413,247.50 IZl 112: 295.000.00 1.000000 50,498.75 59,498.75 59,498.75 54 498.75 413 997 50 6/ 2123 221 1123 325.000.00 7.C50000 49,173,73 49,273.75 , 49,173.75 704,173.75 , . 433,347,50 6/ 2114 121 2114 335,000,00 7,050000 38,070,00 38,070.00 38,070.00 373,070.00 411 140 00 6/ 2115 IZ/ 2/li 380,000.00 7.050000 28,261.23 26,261.25 26,291.25 ]86,261,25 , . 112 522 50 d/ 1111 13,371.23 13,371.23 , , . LD u~ s=T 1ss;. ~p ~~~`~Y_E_ISSNER CO Y :' I • ~ ~ AAA b1ATt$ asTSSrtvTTy . si,aoc.ono w~ scrPr.Y ~ ~ somas, srs a 19ee sat 5~~ sc~crts - P.3i3 ~~ rRaou~u. oacrxat ~~ ~, g~ so*u 22t u2s 1RS.00400` T.OS0000 I3.37t.23 398.371.25 i12,1i2.S0 t,a0Q,00~.00 d,3i2,27S.d3 Il,li2,275.b3 ~'d00,000.G4 b.342.27S.d3 11,142,27S.Q3 ~~ ~~ 3! 2169 NI*a DELIVs.~Y GF 3! 1/80 ~-~ a1.ns.ooo AT_~AGg CCIIP~{ 8.011 A~C~L LIFL 25.120 H Z C L' ~SIOfiTD 2 DS•146 100.0000000 i Z C Z 6.6723)8 ! U528G 200.ooao0o0 ~AP~ DY [~tOFEI, E4ISStL~R L CO. , 1NC. RL'SDAIZs 02-03-1960. ~ 10:40•Si l212tL1~; Lp[~ ~; ~ 98 '..~ .~ i ~ R~'QUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: reh,Il~~v 13, 1989 Requested By: John A. ArmstronE Departments Attorney, La Porte Area Watex Authority Report Resolution X Ordinance Exhibits: As Attached. According to the contracts signed by the City of La Porte and the La Porte Area Water Authority, and according to state law, the City Council of the City of La Porte must approve any bond sale by the La Porte Area Water Authority, prior to the time that the Authority may sell its bonds. The La Porte Area Water Authority, according to long-standing plans, has received the approval of the Texas Water Commission and the Texas Water Development Board to sell a total of NINE MILLION EIGHT HUNDRED THOUSAND DOLLARS ($ 9,800,000.00) of Contract Revenue Bonds to the Texas Water Development Board. A prior sale of bonds took place late in 1988 in the amount of FIVE MILLION DOLLARS ($ 5,000,000.00). This sale, in the amount of FOUR MILLION EIGHT HUNDRED THOUSAND DOLLARS ($4,800,000.00), is the remainder of the funds authorized by tt~e Texas Water Commission and the Texas Water Development Board. The FIVE MILLION DOLLAR ( $5,000,000.00) bond sale was to finance the City of La Porte's purchase of a portion of the city of Houston',s Southeast Water Purification Plant. The FOUR MILLION EIG!!'r lIUNllR.Ell THOUSANll llULLAR ( $4,800,000.00) bond sale is in order to finance the construction of a transmission system of pipe to transport water from ttie Southeast Water Purification Plant to the customers of the La Porte Area Water Authority. Action Required by COUneil: Pass Ordinance 1635 in form attached. Availability of Funds: N/A General Fund Water/Wastewater Capital Improvement General Revenue Sharing Other (Motor Pool Replacement Fund) Account Number: Funds Available: _ YES _ NO ~~,Qy.~,for City Co ncil Agenda 9 ~~' R t T. Herrera DAT C ty Manager • • .~ ORDINANCE N0. 1635 AN ORDINANCE CONSENTING TO THE ISSUANCE AND SALE OF BONDS BY LA PORTE AREA WATER AUTHORITY; PROVIDING FOR A SEVERABILITY CLAUSE; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING FOR AN EFFECTIVE DATE HEREOF. WHEREAS, the La Porte Area Water Authority (the "Authority") was created as a conservation and reclamation district in Harris County, Texas pursuant to the provisions of Article XVI, Section 59 of the Texas Constitution and Chapter 729, pages 2678 et seq. Acts of the 67th Legislature of the State of Texas, Regular Session, 1981 (the "Act"); and WHEREAS, Section 12(b) of the Act authorizes the Authority to borrow money from time to time for the purposes specified in the Act by, among other things, issuing and selling revenue bonds; provided, however, that the Authority may borrow money only with the prior approval of the city council (the "City Council") of the City of La Porte (the "City"); and WHEREAS, the Board of Directors of the Authority has informed the City Council that the Authority desires to issue and sell its Contract Revenue Bonds, Series II 1988, in the aggregate principal -amount of $4,800,000, in order to finance the construction of a transmission and distribution system to transport water from the Southeast Water Purification Plant under construction by the City of Houston (the "Southeast Plant") to customers of the Authority and for other related purposes; and WHEREAS, the City has entered into a Water Supply Contract with the Authority for the City to purchase water treated at the Southeast Plant from the Authority; and • ~_ ,~ Ordinance No. 1635, Page 2 WHEREAS, the issuance and sale of the Bonds by the District on the proposed terms and conditions is satisfactory and in the best interest of the City and the City Counci] desires to consent to the issuance and sale of the Bonds; therefore BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section 1. That the City Council of the City of La Porte hereby consents tc the issuance and sale by La Porte Area Water Authority of up to $4,800,000 of its Water Supply Contract Revenue Bonds, Series II 1988, substantially in accordance with the terms and conditions set forth in the proposed "Resolution Authorizing the Issuance and Sale of $4,800,000 Water Supply Contract Revenue Bonds, Series II 1988, and Authorizing an Agreement with the Paying Agent/Registrar" attached hereto as Exhibit "A" and hereby made a part of this Ordinance. Section 2. That the City Council officially finds, deter- mines, recites and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council -was posted at a place convenient to the public at the City Hall of the City for the time required by law preceding this meeting, as required by the Open Meetings Law, Article 6252-17, Texas Revised Civil Statutes Annotated; and that this meeting has been open to the public as required by law at all times during which this or- dinance and the subject matter thereof has been discussed, con- sidered and formally acted upon. The City Council further rati- '..~ .: Ordinance No. 1635, Page 3 fies, approves and confirms such written notice and the contents and posting thereof. Section 3. That this Ordinance shall take effect and be in full force immediately upon and after its adoption. PASSED AND APPROVED THIS THE DAY OF CITY OF LA FORTE . 1989. By: NORMAPI MALONE, Mayor ATTEST: APPROVED: By: CHERIE BLACK, City Secretary • • .~ r~ .. $OND REGISTRAR AND PAYING AGENT AGREEMENT THIS AGREEMENT entered into as of 1989 (the "Agreement"} by and between La Porte Area Water Authority, a body politic and corporate and a political sub- division of the State of Texas (the "Authority"), and First City National Bank of Houston, a national banking associa- tion duly organized and existing under the laws of the United States of America with its principal offices in Houston, Texas (the "Bank"); W I T N E S S E T H: WHEREAS, the Authority has duly authorized and provided for the issuance of its Contract Revenue Bonds, Series II 1988 (the "Bonds") in the aggregate principal amount of X4,800,000 to be issued as registered bonds without coupons; and WHEREAS, all things necessary to make'the Bonds the valid obligations of the Authority, in accordance with their terms, will be taken prior to the issuance and delivery thereof! and WHEREAS, the Authority is desirous that the Bank serve as the agent of the Authority for the purpose of pro- viding for the authentication, registration, transfer, ex- change, replacement and payment of the Bonds (provided adequate funds have been provided to the Bank on behalf of the Authority), all under and in strict conformity with the Resolution of the Authority authorizing the issuance and sale of the Bonds and approving this Agreements and WHEREAS, the Bank desires to serve as the Authority's agent for the purposes listed above and to enter into and perform its obligations under this Agreement; NOW, WHEREFORE, the Authority and the Bank hereby agree as follows: L`:•'~x~%~•y~/"!..`R.i~-:+' ~•"•4e,'.~.#,':' ~'~ra~f":t;;:v...; +~~•«f~ti °:1:'%t'.~::..,. v'.y~'.:;' ;%:•~~ ~~.:~ + ... ~ ~.,~..~•~. ,~• ~ .• ~• '.i • v .1 •} fir. A~ ±~ 039DE3AM/024COI -l- ~~ ~::}. ,~. ., , lr-''=---..~...... • ~ • s~ f'~ ARTICLE ONE APPOINTMENT OF BANK AS PAYING AGENT AND REGISTRAR Section 1.01. Appointment. The Authority hereby appoints the Bank to act as Paying Agent/Registrar with respect to the Bonds for the purposes of (i) paying to the registered owners of the Bonds the principal of, and interest on, all or any of the~BOndst (ii) maintaining the Bond Register (as defined in Section 4.01 hereof), in which shall be kegt the names and addresses of the registered owners of the Bonds; and (iii) authenti- cating Bonds issued pursuant to the Resolution authorizing the Bonds, all as described in this Agreement. The Bank hereby accepts such appointments, and agrees to act as the Paying Agent/Registrar with respect to the Bonds, subject to the terms and conditions of this Agree- ment. Section 1.02. Compensation. As compensation for the Bank's services as Paying Agent/Registrar, the Authority hereby agrees to pay the Bank the fees and amounts set forth in Annex A hereto until December 31, 1989 and thereafter the fees and amounts set forth in the Bank's current fee schedule then in effect for services as Paying Agent/Registrar for municipalities, which shall be Supplied to the Authority on or before October 1 of each year and shall be effective upon January 1 of the following year. In addition, the Authority agrees to reimburse the Bank upon its request for all reasonable expenses, disburse- ments and advances incurred or made by the Bank in accor- __-dance with any of the provisions hereof (including the rea- sonable compensation and the expenses and disbursements of its agents and counsel?. ARTICLE TW,O DEFINITIONS . Section 2.01. Definitions. J' . ~ ...r~ `w:~-.,~ ti •,t ,. j.' •,y ;,,,y,~~•r I ~ •.~L ::.:• •,~ ~4 \ 1r r 1 / ~~. ~/ I ` yr .: 1'r?' ~ .. ht, ~.~~?~: ~J:, a~ • rj i ,+•+~• ~ ,;. ..«• 3 ,: . For all purposes of this Agreement, wise expressly provided or unless the context .:y :_ 1~ ...~ .yam, vyti,1.•, ~ ~.. •t rr~~. ~! err :•i' •. Z~>r:.~. except as other- ' otherwise requires: 039DESAM/024C01 -Z- i r-- ., "Bank Office" means the principal corporate trust office of the Hank as indicated on the Signature page hereof. The Bank will notify the •~ Authority in writing of any change in location of the Bank Office. "Band Resolution" means the resolution of the Board of Directors of the Authority adopted on 1989 authorizing the issuance and sale of t e Bonds, a certified copy of which has been delivered to the Bank. "Authority Request" and "Authority Order" means a written request or order signed in the name of the Authority by the President of the Board of Directors or the General Manager of the Authority and delivered to the Bank. "Responsible Officer" when used with respect to the Bank means the Chairman or Vice Chairman of the Board of Directors, the Chairman or Vice Chairman of the Executive Committee of the-Board of Directors, the President; any Vice President, any Assistant Vice President, the Secretary, any Assistant Secretary, the Treasurer, any Assistant Treasurer, the Cashier, any Assistant Cashier, any Trust Officer or Assistant Trust Officer, or any other officer of the Bank customarily performing functions similar to those performed by any of the above-designated officers and also means, with respect to a particular corporate trust matter, any other officez to whom such matter is referred because of his knowledge of and familiarity with the particular subject. Section 2.02. Other Definitions. -- Capitalized terms used herein without definition shall have the respective meanings assigned to them in the Sond Resolution: ARTICLE THREE .. PAYING AGENT ' Section 3.02. Duties of the Bank as Paying Agent. ~4 1, M,.~ :M !.~'. 1~\ii .• M1 ~ i - . /.' ~ .Y ' . '~ ~ "r( ~. r~ G.f ~ ti 1'i. `'~.~' y f .... ~'~ d~ t ~ ~ C'tL~ 1'Y ~. .~~~~~i'r: ~'~i. ~;~~r'K ~. ~. a. •.~)~~1'/ l:. ti~~'~~ ..:~...~. ~~•~~. y~l ~•' ~~•~~~.~ tl +~ • '~As Payinq Agent, the Bank shall, provided adequate' funds have been provided to it for such purpose by or on 039DESAM/024C01 -3- • ~.~ •• ~~# ~u~~~~~'L I ~' ~ k~ ~ t~ 4J +'' G behalf of the Authority, pay on behalf of the Authority the principal of the Bonds at their respective maturities (whether at their stated maturities or upon redemption as provided in the Bond Resolution) to the registered owners thereof upon surrender of the Bonds to the Bank at the Bank Office. As Paying Agent, the Bank shall, provided adequate collected funds have been provided to it for such purpose by or on behalf of the Authority, pay on behalf of the Authority the interest on the Bonds when due, by computing the amount of interest to be paid each registered owner thereof, preparing the checks and mailing them as specified in the Bond Resolution to such owners, addressed to their addresses appearing on the Bond Register. Section 3.02. Payment gates. The Authority hereby instructs the Bank to pay the principal of, and interest on, the Bonds at the dates specified in the Bond Resolution (provided adequate funds have been provided to the Bank by or on behalf of the Authority). ARTICLE FOUR REGISTRAR Section 4.01. Authentication, Transfer and Erchan e. The Authority shall keep at the Bank Office a register (herein and in the Bond Resolution called the "Bond Register") in which, subject to such reasonable written regulations as~the Authority may prescribe (which regula- tions shall be furnished the Bank herewith or subsequent hereto by Authority Order), the Authority shall provide for the registration of Bonds and of transfers of Bonds. The - Bank agrees to maintain the Bond Register while it is Registrar. At any time and from time to time after the execu- tion and delivery of this Agreement,.any registered owner. may deliver to the Bank, for transfer or exchange, any Bonds accompanied by instructions from such registered owner designating the persons and authorized maturities and principal amounts to and in whi h N~ •., ~ c such Bonds are. to. b '`., '- .w.._•..• • : tr~risferr~ci~•+c~•~~~~'XDh~i'ngeY2'.''=an.~ ~t'h'~"Ba.hk~~hs~1'~`•~'t7~ete y~•~-::;•~~~= ..~;,~,.'..•;~,,:.:•,.. ,•.; ,.:. within not more than three (3) business days aftertall~ ~ ~~~~ ~'- necessary documentation has been delivered to the Bank, 039DESAM/024C01 -4- • • ~"--'~ t ~~# 4 1 4 rJ F' authenticate and deliver such Honds, as provided herein, in the Hond Resolution and in such instructions. Such Bonds shall be executed on behalf o~ the Authority and shall be authenticated in the manner provided in the Bond Resolution. with respect to any Bond authenticated and delivered by the Bank hereunder, the Bank shall place the date of authentica- tion of such Bonds in the place provided for such date in the form of Bond. All Bonds issued upon any transfer or exchange of Bonds shall be the valid obligations of the Authority, evidencing the same debt, and entitled to the same benefits hereunder and under the Bond Resolution, as the Bonds surrendered upon such exchange. No service charge shall be made by the Bank to the registered owner of a Bond or any transferee for any regis- tration, transfer or exchange o~ Bonds, but the Bank shall require payment by such registered owner thereof or trans- feree(s) of a sum sufficient to cover any tax or .other governmental charge that may be imposed upon or be collect- ible by the Authority or the Bank in connection with any such transfer or exchange of Bonds. Every Bond surrendered for transfer or exchange shall. be duly endorsed or be accompanied by a written instrument of transfer, the signa- ture on which has been guaranteed by an officer of a federal or state bank or a member of the National Association of Securities Dealers, Znc., in form satisfactory to the Bank, duly executed by the registered owner thereof or his attor- ney duly authorized in writing. The Bank. may request any supporting documentation it feels necessary to effect a transfer or re-registration. Section 4..02. Certificates. _ The Authority shall provide an adequate inventory of Bond certificates to facilitate transfers. The Bank covenants that it will maintain Bond certificates in safe- keeping and will use reasonable care in maintaining such certificates in safekeeping, which shall be not less than the care it maintains.for.debt..securities o£ other govern- ments or corporations for which it serves as registrar, or which it maintains for its own securities. The Bank will notify the Authority in writing in a timely manner when .!•; ,~, .~: ~ . additional; ~ $ond cert fic~tes should be d ed. beta s ,,: ~ ~ or er e of .".. .•~ $ep~e~i0~~''8f: ~h•:.~n ~~i'~b y. .... _..~.,~:,~,.r-: ,-;%~=.:f-~••,~r .:..~• .: z.:~=.: ~;.+:+1: ~;,:~.~,.,.,. 039bESAM/029C01 -5- r_ ., T'E~$ L:~ ~ d~'~T'L r_:j~ :4~ l t~k1 r'C E~ 4.03. Form of Bond Register. The Bank as Registrar will maintain the records of the Bond Register in accordance with the Bank's general practices and procedures in effect from time to time. The Bank shall not be obligated to maintain such Register in any form other than that which the Hank has currently available and currently utilizes at the time; provided, however, that such form shall at a1I times be adequate to provide for an accurate accounting of the entire principal amount of Bonds maturing in each year of maturity and to permit the tracing of any Bond to one of the Initial Bonds. The Bond Register may be maintained in written form or in any other form capable of being converted into written form within a reasonable time. Section 4.04. List of Registered Owners of Bonds. The Bank will at any time upon request. of the Authority provide to the Authority a copy of the information contained in the Bond Register. The Authority may also inspect the information in the Bond Register at any time the Bank is customarily open for business, provided that reason- able time is allowed the Bank to provide an up-to-date listing or to convert the information into written form. The Bank will not release or disclose the content of the Bond Register to any person other than, or at the written request of, the President of the Board of Directors or the General Manager of the Authority, except upon receipt of a subpoena or court order. Upon receipt of a subpoena yr court order, or any notice relating to such a subpoena or order or a hearing with respect thereto, the Bank will promptly notify the Authority so that the Authority may have the opportunity to contest the subpoena or court order. Section 4.05. Return of Cancelled Certificates. The Bank will, in accordance with the written instructions of the Authority, surrender to the Authority •cancelled Bond certificates in lieu of which or in e:cchange for which other Bonds have been issued,. or which have been paid. :~` i ;-~`: .r K 039DESAM/024COI ~ -6- r~ -~-" ~k~# ~~ j ~~~~ ~ G~ ~ ~~ ~ 8~~~4~ Section 4.06. Mutilated. Destroyed, Loft or Stolen Bonds. - •- The Authority hereby instructs the Bank to deliver and issue. Bonds in exchange for or in lieu of mutilated, destroyed, lost or stolen Bonds as long as the same does not result in an overissuance and subject to the conditions hereinafter set forth. The Bank will issue and deliver a new Bond in exchange for a mutilated Bond surrendered to it. The Bank will issue a new Bond in lieu of a Bond for which it re - ceives written representation from the registered owner thereof that the certificate representing such Bond is destroyed, lost or stolen, without the surrender or produc- tion of the original certificate, so lung as (a) there is delivered to the Bank such security or indemnity as it may require (which may be the Bank's blanket indemnity bond) to save both the Bank and the Authority harmless and (b) neither the Authority nor the Bank have received notice that such Bond has been acquired by a bona fide purchaser. The Bank will pay, on behalf of the Authority, the interest on, and the principal of, a Bond for which it receives written representation that such Bvnd is destroyed, lost or stolen following the stated maturity or redemption of such Bond, without the surrender or production of the original certif- icate. On satisfaction of the Bank and the Authority, the certificate number on the Bond Register will be cancelled with a notation that it has been mutilated, destroyed, lest or stolen and a new Bond wil.i be issued of the same series and of like tenor and principal amount bearing a number taccording to the Bond Register) not contemporaneously outstanding. __ The Bank shall charge the registered owner of the Bond the Bank's fees and expenses tincluding any tax or other governmental charge imposed) in connection with issuing a new Bond in lieu of or exchange for a mutilated, destroyed, lost or stolen Bond. The Bank represents that there is or will be in effect one or more insurance policies of the type which is commonly known as "banker's blanket bond", which covers or cover the 8ank~ stir ~, e . ..~*;,,.....•,.;.: .~ ,..~a~. ~.n *ed,~: aid .W~ ~h n,.th a~~xec~~,t ,...,:,~~•~~ -~ ~,.~ :~i'd~`"at' lea `' d ' covera a ~3'r a '~ k?xR, ':.:.:;,. s~~ 2'5,'~'0'$~;0 0 . ~ ri~'"brie ~ ca~~t~al`~~ ~`or` ~ •~~= ,' ~: . event and which is or are issued by an insurance company or companies licensed to carzy on business of insurance in the 039DESAM/029C01 -7, '"'- ~~~~ ~~~~~1~~ ~~:G_ij {~4a~r~~1 State of Texas. The Bank agrees that during the .term of this Agreement, the Bank at its own expense will continue to maintain in effect such insurance policy or policies (or another policy or policies of the same type) with one or more such insurance companies in an amount or amounts and with loss or hazard coverage not Iess than those stated in the preceding sentence. The Authority hereby accepts the Bank's current blanket bond having the terms and provisions set forth in the preceding paragraph for Iost, stolen or destroyed certificates and any future substitute blanket bond for lost, stolen or destroyed certificates that the Bank may arrange in accordance with the specifications described in the preceding paragraph, and agrees that the coverage under any such blanket bond is acceptable to it and meets the Authority's requirements as to security or indemnity. The blanket bond utilized for the purpose of lost, stolen or destroyed certificates by the Bank shall be available for inspection by the Authority on request. Section 4.07. Transaction Information to the Authority. The Bank will, within a reasonable time after receipt of written request from the Authority, furnish the Authority with information as to interest and principal payments it has made with respect to the Bonds, Bonds it has delivered upon the transfer or exchange of any Ronds pur- suant to Section 4.01 hereof and Bonds it has delivered in exchange for or in lieu of mutilated, destroyed, lost or stolen Bonds pursuant to Section 4.06 hereof. ARTICLE FIVE THE BANK Section S.O1. Duties of Bank. The Bank undertakes to perform the duties set forth herein and agrees to use reasonable care in the performance thereof.. .. Section 5.02. Reliance on Documents, Etc. :~; ~ .:~, ;r:•. .~..• •~~~~,y,(a)' The Bank may relhy, and shall. be, r tected in . nq' ~i~~ "~'~+g~~~h~fn ' '~~rom-'~C~n" ' P ~ ~' 4soZt' '~~~~~~: .;i,`~x;.:t~:.i :.•,.~ ~;• g•' ~r,.t obi .any- re tc5~r`, ... certificate, statement, instrument, opinion, report, notice, request, direction, consent, order, bond, note, ~039DESAM/029C01 -8- ~,._ ~.. ~~# ~STc~t'~ fi~ : ~ I c^~~~f'?0 security or other paper or document reasonably believed by it to be genuine and to have been signed or presented by the proper party or parties. The sank shall not be bound to make any investigation into the facts or• matters stated in a resolution, certificate, statement, instrument, opinion, report, notice, request, direction, consent, order, bond, note, security or other paper or document supplied by the President of the Board of Directors or the General Manager of the Authority. tb) The Bank may consult with counsel, and the written advice of such counsel or any opinion of coun- sel shall be full and complete authorization and protection with respect to any action taken, suffered ar omitted by it hereunder in good faith and in reli- ance thereon. tc) The sank may exercise any of the powers hereunder and perform any duties hereunder either directly or by or through agents or attorneys of the Bank. Section 5.03. Recitals of the Authority, The recitals contained herein and in the Bond certificates, except the certificate of authentication of the Bands, shall be taken as the statements of the Authority, and the Bank assumes no responsibility for their correctness. Section 5.04. May Hold Bonds. The Bank, in its individual or any other capacity, may become the owner or pledgee o~ Bonds and may otherwise deal with the Authority with the same rights it would have if it were not acting as the Paying Agent/Registrar ox' in any other capacity hereunder. Section 5.05, Moneys Held by Bank. Money deposited by the Authority with the Bank for payment of the principal (or redemption price) of, or inter- est on, any Bonds shall be~segregated from other funds of • the Sank and the Authority and shall be held in trust for the benefit of the registered owners of the Bonds. A11 {m-oney deposited with the Bank hereunder shall be secured in 1y •1•'. ~T ~ T .:r ......., ~~~ o~~ .~.~•~~Q.;~~e~~:~u~.~.,e~t,•_..~t~e.A:~.,7~~qu~a,x~d-,.Jody,.. security •funi3s' of the 'Authora.~ 'T _l~~I~'.~°z._~•;;~~.;`.;~'~'~..~:~ :~,;:~;.;:. no liability for interest on any fundshreceivedhbylite iinder~' ~ ~ "' "• hereunder unless an Authority official directs the 039DESAM/029C01 ~ _g_ ~.~ .: t~~# tt~ ~ G~1~'G _~ t~ . G investment of such funds, in which case such funds shall be so invested and any interest earned thereon shall be paid or credited to the Authority, unless otherwise agreed with the. Authority. Section 5.06. Limit on Liabilit . The Bank shall not be responsible or accountable to the Authority, either by reason of its authentication of any Bonds or for any other reason whatsoever, with respect to the validity of this Agreement or of the Bonds, for any act done or omitted by it in good faith, e:ccept for its own willful misconduct or failure to exercise reasonable care in the performance of any duty arising under this Agreement. Section 5.07. Resignation and Removal. The Bank may resign from its duties hereunder at any time by giving not less than 30 days' written notice thereof to the Authority. The Bank may be removed from its duties hereunder at any time, with or without cause, by an order or resolu- tion adopted by the Board of Directors of the Authority designating a successor upon not less than 30 days' notice; provided, however, no such removal shall become effective until such successor shall have accepted the duties of the Bank hereunder by an instrument. Upon the effective date of such resignation or removal for any earlier date designated by the Authority in case of resignation), the Bank shall, upon payment of all its fees, charges and expenses then due, transfer and deliver to or upon the order of the Authority the Bond Register and all other funds, records, Bonds and Bond certificates held by it under this Agreement. If the Bank shall resign or be removed, the Authority shall by order or resolution of its Board of Directors promptly appoint and engage a successor to fulfill the obligations of the Bank hereunder, which appointment shall be effective as of the effective date of the accep- tance of such duties by such successor. The Authority (or such successor on behalf of the Authority) shall immediately give notice of such substitution hereunder to the registered y;. •~..- .;~~.:.~~,•.gbrnez~..~Q,f,~.a~1.k:,~,Qndn tb~r~•touts.t~r~d~.~g.~~:.i,.nc~.~?di:~~',,thq .~~?,~,~~4~: ~ .- • ~~• su'ch successor and the add're5s of its principal office. ~ ~ ~' 039DESAM/024C01 -10- ~~ .. awn co-ct~E~t iF ~ t~ E ~~k')! ~k~ Section 5.08. Merger, Conversion, Consolidation or Succession. ~-- Any corporation into which the Bank may be merged or converted or with which it may be consolidated, or any corporation resulting from any merger, conversion or consoli- dation to which the Bank shall be a party, or any corpora- tion succeeding to alI or substantially all of the corporate trust business of the Bank shall be the successor of the Bank hereunder without the execution or filing of any paper or any further act on the part of either of the parties hereto. In case any Bond(s) shall have been authenticated, but not delivered, by the Bank then acting hereunder,. any such successor by merger, conversion or consolidation to such authenticating Bank may adopt such authentication and deliver the Band(s) so authenticated with the same effect as if such successor Bank had authenticated such Bond(s). ARTICLE SIY MISCELLANEOUS PROVISIONS ~~ Section 6.01. Amendment. This Agreement may be amended only by an agreement in writing signed by both of the parties hereto. Section 6.02. Assi nment. This Agreement may not be assigned by either party without the prior written consent of the other. Section 6.03. Notices, Any request, demand, authorization, direction, notice, consent, waiver or other document provided or per- -.mined hereby to be given or furnished to the Authority or the Bank shall be mailed or delivered to the Authority or the Bank, respectively, at the addresses shown on the signature page hereof unless changed by written notice to each other. Section 6.04. Effect of Headings. The Article and Section headings contained in this .-~-~ ~;:~;rtfip • ~~c~~,Ag~aementz.. a,~Q-: ~r Qn ex-~. U~c. -,on~: :~ cl.,: I , t th •.:. . .. construction he e ~ Y ~ ~ . ~'. l(. ~ ~ba ~;,.:~'iot-:a£~t .,~;+,Y, ..~ ;..:w.,•, r of. Q39DESAM/024C01 -11- • •~ r"' ~- ~~~ ct,~~~ rc ~fi:~~ ~,~~~?43 Section 6.05. Successors and Assigns. All covenants and agreements herein by the Author- ity and the Bank-shall bind their respective successors and assigns, whether so expressed or not. Section 6.06. Benefits of 'Agreement. Nothing herein, express or implied, shall give to any person, other than the parties hereto and their succes- sors hereunder, any benefit or any legal or equitable right, remedy or claim hereunder. Section 6.07. Separabilitx. In case any provision herein shall be invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired thereby. Section 6.08. Entire~A reement. This Agreement and the Bond Resolution constitute the entire agreement between the parties hereto relative to the Bank's acting as Paying Agent/Registrar, and if any conflict exists between this Agreement and the Bvnd Resolu- tion, the Eond Resolution shall govern. Section 6.09. Counterparts. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original and all of which shall constitute one and the same Agreement. Section 6.10. Termination. - This Agreement (i) will terminate on the date of final payment of the principal of, and interest on, the Bonds to the owners thereof or (ii) may be earlier terminat- ed by either party upon 60 days' written notice; provided, however, an early termination of this Agreement by either party shall not be effective until (a) a successor Paying Agent/Registrar has been appointed by the Authority and such appointment has been accepted and (b) notice has been given of the appointment of a successor Paying 1lgent/Regi •.....,~;,•.~:.~--~~~-» ~~h~-s~wnera.:o.f•~the:~.~o stray to ~~he~rmo e . t1ie~ ~ Ba~~k :.a~d~• ~ths.t. ~ ~„~,. ~,;..v.;•:,,.-;,~;: ,.•: ;r-. Authority mutually agree that the effective date of an early ~~ termination of this Agreement shall not occur at any time 039DESAM/024C01 -12- r ~ ~~ .~ which would disrupt, delay or otherwise adversely affect the payment of the-Bonds. Opon an early termination of this Agreement, the Bank agrees promptly to transfer and deliver the Bond Regis- ter (or a copy thereof), together with other pertinent books and records relating to the Bonds, to the successor Paying Agent/Registrar designated and appointed by the Authority. The provisions of Section 1.02 and Article Five shall survive and remain in full force and effect following the termination of this Agreement. Section G.11. Governing Law. This Agreement shall be construed in accordance with and governed by the laws of the State of Texas. per.A].C'i•~~{:R.:.'.i~t.s.l~•~;~t~:w' ~•1++'s~~;~.tl..~!2+ •et':"~-i~:':. ~~;:~-~L'wa~~,~~..u ~' .4r..r ,~~*..4 ~ .W ,; t' .. T..Y.~.y• ~~~ :1, •:'~•~t .~9'i~f-•~ III,: '~iti~l!1.. :Y•~i .~'.~q.i •.. ~: 039DESAM/024C01 -13- c l~ L~ ~~:k1t~L L~:k~T ~~tfck~ IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year first above written. LA PORTS AREA WATER AUTHORITY BY President, Board of Directors [SEAL] Attest: Secretary, Board of Directors (SEAL] Attest: Title: ~_ ., Address: P. 0. Bo:c IIi5 La Porte, Texas 77571 Attention:, General Manager FIRST CITY NATI01~'r1I. BAh°K OF HOUSTON BY Title: Address: 1301 Fannin, 21st Floor Houston, Texas 77001 ~: ,~'~.~i.• ~. /f~ !"~ ~••7+ 'fti' +.i t.1 •r ;~+ ~' ~ • .'~1^T: •. •`-' .'1~~. ti!c .i..y~~. ,•. M>: ~~. ~. 039DESAM/024C0I -14- ~_ .~ ~• EiF L~ ~GkJFL First Ciey Naciuna) Bank of Hn~~s~on 'trust Division PAYING AGII~T/REGISTRAR SERVICES SC~~UZ,>r OF ~~ gI'F~TIVE June 1, 1984 Initial Acceptance *Per Issue Accepted: This charge ocvers cat~lete study and consideration of all usual documentr authorizing and support~g the issuance of bonds, the acceptance of the account and authentication of the bonds. Annual Actninistration First $5 million principal amount, per million; Next $5 million principal amount, per million: f~ccess above S10 million principal amount, per million: Minimum Charge: T~s charge cover normal actninistrative services Performed. It is charged on asemi-annual, pro rata basis calculated on the principal amount outstanding at the beginning of each such semi-annual period. Bo:x3holder Account Maintenance $1500.00 $ 75.00 $ 50.00 $ 25.00 $lsoo.oo Per Acc.'cunt Maintained: • S 5.00 This charge includes maintaining of addresses of holders, placement and xemaval to stops, posting of all certificates ~ . -issued and cancelled, furnishing of daisy transfer reports and the issuance of semi-annual int~xest checks. I~riuiici 1 Bond Transfer and istrar Charge per original issuance and ~listzation urge per transfer and registration S 1.50 ~"NAY`. ~~:: '. .• 1~.~.~ *Payable at closing. • ~~~' ~~ E ~J41l1~1 P.O. Aox 809 Ho~smn,'f t 770(tl (711} GSH•7127 riRSrCmr. Member Finc City Banoorponcion of Tezas, Irse • L' l... .+ F ~ .]U ~ E $ Retiren~~ent of Bonds LQ l ~~4~PL For retirement at maturity, or by call as a whole: Gr : k~ G ~~~~e First 100 bends {each): Next 400 bonds (eat) : S 1. SO f7tcess over S00 bonds (each): $ 1.00 $ .50 For retiranent by partial call, tender offer or by purchase; First 100 bonds (each): Next 400 bonds (each): $ 2.00 ~ceess over 500 bonds (each); $ 1.50 $ 1.00 Miscellaneous Services Bondholder list prep~xation, per account: Bondholder mailing, per account: $ .04 Mintmun charge: $ .OS S 50.00 F~ctraordin Services Charges for performing any : ervice not s~cifically covered in this schedule will be determined by an appraisal of the services rendered. Closing costs are not included, Additional Charges The fees shoran in this schedule axe intended to be rRinirntan fees and aceordsr:gly, are subject to include if the circtai~stances attending a particular. issue or account so warrant. ~tiirthermore, they do not include counsel fees or any other expenses or disbursements. All outrof-pocket expenses such as stationery, binders, checks, forms, Printing, and envelopes will be added, at cost, to the regular fee for services. Postage, registered mail and insuz'ance charges will be billed in addition to all other fees and charges. Private Placement fees are subject ~ negatiation. Biliii Accounts are billed on a semiannual basis. Amounts --billed are. considered due on receipt and a sate charge of 2~ o'er the floating base interest rate of First City National Barak of Houstx~r, may be assessex3 £or bill$ not paid within thirty (30) days. ~~_ Bates quoted are good for one year fxrm inception of aocaunt, and are subject to review and change thereafter ~• ~ in whole or•in part at the initiation of either party as • c~'cumstances dictate. -2- • QUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: Februarv 13.,, 1989 Requested By: Hobert T. Herrera Department: X Report Resolution Ordinance Exhibits: 1) Recommendation from Robert T. Herrera, General Manager of La Porte Area Water Authority 2) Recommendation from EH&A to LPAWA SUMMARY ~ RECOMMENDATION Advertised, sealed bids from prequalified contractors for the construction of a surface water transmission line were opened and -- read on January 19, 1989. Thirteen (13) prequalified contractors requested plans and specifications with ten (10) returning bids. Low bid meeting specifications was submitted by Mercer Construction_Company in the amount of three million five hundred fifteen thousand seven hundred eighty dollars and fifty cents ($3,515,780.50). This amount is based on an evaluation of four (4) bid alternates which resulted in a recommendation of Alternate D, all ductile iron pipe (see attached memo and letter of recommendation). The Board of Directors of the La Porte Area Water Authority, meeting in regular session on February 7, 1989, awarded the bid to Mercer Construction Company, low bidder meeting specifications, in the amount of $3,515,780.50. Staff recommends Council approval of the La Porte Area Water Authority Board of Directors' award of bid for construction of surface water transmission line to Mercer Construction Company. Action Required by Council: Approve La Porte Area Water Authority Board of Directors' award of bid for construction of surface water transmission lines to Mercer _. Construction Company, low bidder meeting specifications, in the amount of $3,515,780.50. This award will authorize the construction of Bid Alternate D, all ductile iron pipe. Availability of Funds: General Fund Capital Improvement Othe r Account Number: brt T. Herrera y Manager Water/Wastewater General Revenue Sharing Funds Available: _ YES _ NO ~ B DA E • • CITY OF LA PORTE INTER-OFFICE MEMORANDUM February 8, 1989 T0: Councilmembers, La Porte City Council FROM: ~~tobert T. Herrera, General Manager La Porte Area Water Authority SUBJECT. Bid Recommendation-Surface Water Transmission Line Advertised, sealed bids from prequalified contractors for the construction of a surface water transmission line were opened and read on January 1g, 1989. Thirteen (13) prequalified construction firms requested plans and specifications with ten (10) returning bids. Bids were structured in such a manner as to contain: A. Base bid-Utilizing PVC pipe materials exclusively. B. "Large Diameter" Ductile Iron Pipe Alternate-Utilizing ductile iron material for 20" and 24" pipe sizes. C. "Small Diameter" Ductile Iron Pipe Alternate-Utilizing ductile iron material for 16" and smaller pipe sizes. D. "Large Diameter" Reinforced Plastic Mortar Pipe Alternate-Utilizing reinforced plastic mortar material for 20" and 24" pipe sizes. E. "Large Diameter" Pretensioned Concrete Cylinder Pipe Alternate-Utilizing Pretensioned concrete cylinder material for 20" and 24" pipe sizes. Alternate pipe materials were requested to stimulate competitive pricing among pipe suppliers. This allowed the La Porte Area Water Authority to select the most advantageous combination of materials. Due to a higher life cycle maintenance cost for ductile iron pipe versus PVC pipe the LPAWA, based on advice from EHA, utilized a method that allowed a comparison of the overall costs of using either pipe material. A "penalty" of ten cents ($.10) per linear foot per inch pipe diameter was assessed to ductile iron pipe to reflect the higher maintenance costs associated with use of this material over its expected life cycle. This penalty was assessed for comparison purposes only and is not reflected in the actual bid prices. Page Two Bid Recommendation-Surface Water Transmission Line February 8, 1989 Mercer Construction Company submitted the low bid meeting specifications for the base bid and for all of the alternate pipe material combinations. The low bid and alternates submitted by Mercer Construction Company were as follows: A. Base Bid-$3,717.033.00 B. Large Diameter Ductile Iron Pipe Alternate-$3,613,663.00 C. Small Diameter Ductile Iron Pipe Alternate-$3,618,150.50 D. Bid Using all Ductile Iron Pipe-$3,515,780.50 The difference in the base bid and the all ductile iron pipe alternate is a total of $201,252.50. After assessing the comparison penalty of ten cents ($.10) per linear foot per inch pipe diameter to the quoted ductile iron prices, the use of ductile iron pipe materials will result in a savings of $119,492.50 over the use of PVC materials. During the regular meeting of February 7, 1989, the La Porte Area Water Authority Board of Directors approved award of the bid for the construction of the surface water transmission line using the all ductile iron pipe material alternate to Mercer Construction Company in the amount of three million five hundred fifteen thousand seven hundred eighty dollars and fifty cents ($3,515,780.50). It is the recommendation of the City of La Porte Staff and myself that the City Council approve the La Porte Area Water Authority Board of Directors' award of the bid for the construction of the surface water transmission line using the all ductile iron pipe material alternate to Mercer Construction Company in the amount of $3,515,780.50. RTH/bjj xc: Board of Directors, La Porte Area Water Authority John Joerns, Assistant City Manager Steve Gillett, Public Works Director .~ i ~K~ ~`~ e :. .,.~ • ESPEY, HUSTON & ASSOCIATES, INC. Engineerin6 & Environmental Consultants January 25, 1989 Mc. Robert T. Herrera, General Manager La Porte Area 'Hater Authority P. O. Box 1115 La Porte, Texas 77571 RE: La Porte Area Water Authority Surface Water Supply Transmission Facilities Dear Mr. Herrera: L~6G0`V~ I~ 1\ JAN 2 61999 ~D EH&A Job No. 10790-L9 We have completed our review and tabulation of the bids received on January 19, 1989 for the above referenced project. Mercer Construction Company submitted the lowest base bid of 53,717,033.00 also the lowest bid including all possible pipe material alternates using ductile iron in conjunction with or in lieu of PVC. Based on the bids received considering all types of pipe, we recommend that awazd of the construction contract be given to Mercer Construction Company. Additionally, we recommend that ductile iron be selected for all buried cazrier pipe materials considering the lowest overall initial construction cost and life cycle repair cost. The ductile iron material selection is based on adjusted bid prices as shown on the project cost analysis included herewith. For comparison, bid prices were adjusted by adding a ten cent (5.10) per linear foot per inch diameter penalty to the ductile iron pipe to account for additional repair costs over the other materials due to corrosion over the pipe design life. This is explained further in the design report previously submitted and entitled, "Computations of Repair Cost Factor for Ductile Iron Pipe for Bid Comparisons", prepared in April 1988. Bid prices were also adjusted to deduct for sleeves which will not be required by using ductile iron in lieu of the other materials and were bid using the same quantities for all materials. Enclosed herewith is a copy of the bid tabulation for your information and files. Should you have any questions, please do not hesitate to call me. Sincerel , / ~ - _.Q~ ~U~ , Dale Conger, P.E. Project Manager Houston Division DC/sll Enclosures cc: Tic. Steve Gillett -City of La Porte Mr. Jack Overton, P.E. -Texas Water Development Board 888 West E3elt Urive South, Suil~ 2011 Ht~uctnn, f~•x.tc 7704 17111 7A1-RR110 ~ ~ ESPEY, HUSTON & ASSOCIATES, INC. Engineering & Environrnental Consultants February 1, 1989 Mr. Jack Overton, P.E. Chief, Engineering Section Texas Water Development Board P. O. Box 13231, Capitol Station Austin, Texas 78711-3231 RE: Proposed Surface Water Supply Transmission Facilities, La Porte Area Water Authority Dear Mr. Overton: ~ ~c~~ae~ Ff5 - 2 ";y ~~ EH&A Job No. 10790-29 The anticipated expenditures for the above referenced water supply project are listed as follows: Construction of Waterlines Legal and Fiscal Fees Contingencies R.O.Y. Acquisition Engineering Capitalized Interest Texas Water Comm Application Fee TOTAL ESTIMATED PROJECT COST The sources of available funds are as follows: Sale of Bonds to Texas Water Dev. Boazd $3,515,780.50 138,000.00 269,534.06 42,845.64 485,839.80 336,000.00 12,000.00 $4,800,000.00 $4,800,000.00 _-- TOTAL AVAILABLE FUNDS _ $4,800,000.00 It is our opinion that adequate funds are available to complete the project in accordance with the plans and specifications as approved by the Texas Water Development Board. Sincerely, ~ ~ ~ % ! ~.,~ a e Conger, P.i;~" Project Manao~t Houston Division DC/sll cc: Mr. Robert Herrera, General Manager Mr. Steve Gillett, City of La Porte 8118 West E3elt Drive South, Suite 200 Houston, Texas 77042 (713) 781-8800 t, a a r Q' Y O O_ 2 ¢ r E ~ f a N K Z H O ¢ 3 ¢ a J W ¢ a ~ ~•' p O: C m a a J I I H I to I O I U I J I J I W I y I V1 I a I x I I I I I Y I O I ¢ I OC I m a w U Z O U a i r i h Z i O I U I Y i w Y i U S I I O I Z I I J I W I N I .Z. I Y I I r I N I O I U i N I W I r I ¢ I a I I ~ I W 1 r 1 a I a i N Z I U i = i h i a I U S to Y N O r N O U Q' w U OC W f • 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 o vi In vi In ui In o In vi ~ ~ M ~ M ~ P 1 A O ~ 1 P O O 1 ~ ~ N ~ P o ~ 1 . O ti m ~ V1 ~O 00 d 00 to •O V1 •O .T If1 Z IA ~ r r r r' IA 11'1 1!1 IA V1 ° ° ° ° ° ti o o o o ti ti o O IA V1 O M M 1!1 CO ~ P N t(1 P N N v _ ~ p p . p m m ~ ^ OO ~ ~O ~0 ~ ~ 2 2 O O ~ ~ ~ ~ ~ z z .t .r ~ 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 o In o 0 o vi In / ff M V1 CO N N P ~t O /~ P ~ ~ O ~~ U ~ ~O P N N m •O S . ~ d ~T M IA ~O ~T Ill ~t ~t 1 - v ~ ~ .- ~- i ~ .t ~ s ~ .t 1~ O f~ O N N h N M ~ M N N ~ ~ f~ M p O m m 1 P to ~ M •O J M i V z Z O O ~ ~ ~ ~ .- z z .t ~ v O O O O O 1!1 O O O 111 IA V1 O V1 O V1 N Ifl V1 IA h ti P ~ V 1 ~O O t!1 N M f~ V1 00 N ~O to N O V1 V1 ~ P ~T •O ~t P In O M 00 ~ to In ~ 1~ P f~ P ~ m ~ ~ P ~ N ~? M v N O 1 r r r r Z r ~t ~t ~t ~t J V1 O V1 O V1 O t/1 IA V1 IA Ill V1 O f~ 1A f~ If1 O ~T Vl O O 1~ to .1 I ~ M S P O •O f~ d A .p _ M ~ O ~t I A ~ M O O O 0 IA M ~O •O OO O N ~ to ~1 O P to P m P O P P O J M ~ M P .7 +- ~- ~ ~ Z ~ M M v M M L(1 O V1 O V1 O IA 1/1 V1 IA V1 P O N O t~ O ~t P s P ~f N P O O O N ti M IA P M ~ ~O ~t O W O N 1!1 IA 1!1 N O ~ ~T ~1 ~ O 00 ~ N M O M N ~ m N O P P P O ~T ~ r' ~ ~ Z ~ M M M M M 0 o In o 0 o In o In o In IA O N O O O N 1f1 N Ifl N • • tf1 ~t P P O O IA •O •O A N N P M M ~ N I A ~ M E O h N N 00 ~ P 00 P P P m O M N N ~ N 00 P P P O Z ~ ~ ~ ~- ~ ~ M M M M M O O O O O O O O O O O O O V1 O IA O IA ~ N ~ O ^ M ~t P M N M to W M ~t P p m ~ Z O S O M ~ d O P Z ~t ~ ~ ~ •- 2 ~ ~? M S O O O O O O O O O O O O IA 1(1 O 1!1 ~ N 0 ~ O M 00 ~ I l1 0 0 t n O IA N N ti `~ ~ N M P In ~ ~ In M P a a O • m m z 2 h N O ~ P I!1 •O •O O O M Ni ~ ~ ~ z z Ni M N Z O N _ ¢ N r a oz a~ a~ o .. p p ,.. .. p 0 ... x a ~ m m m a~ = = = ~w > w ~w ~w c~ z U a > rxy am p p o pp c~ O v U > a ° ~m ~ m z zw m > > a w ~ t i~ w J w w•-• o. a o. m o_ ¢ c~ z J z c~ c~ J Vl .. M oif z wLL LLu- a0 ¢O d' rYY Oa w otJ off wa m o0 0o arY fm a ¢U J o. o_ ~ ¢ v r J r J r w •-• r •-~ v U m> J a~ a 7 N W ~ W G ~ r w m¢ z U ~ p p d a a J ¢ r O v r0 O v p~ p~ p p CL' J tL' p W J W W aJ W r r •F- •r •U ¢ W C7 J C7 L7 r J C. m U m U r U r U r ~ Z r r J d' a CL' o[ O O v 1 to d N O. ¢ p ¢ p ¢ ¢ U ¢ ¢ J N J J PROJECT COST ANALYSIS , FOR MATERIAL COMPARISON LPAWA SURFACE WATER SUPPLY TRANSMISSION FACILITIES EH&A JOB N0. 10790-29 MERCER CONSTRUCTION CO. ITEM ESTIMATED UNIT UNIT N0. ITEM UNIT QUANTITY PRICE EXTENSION PRICE EXTENSION I. ACTUAL BID PRICES: A. TOTAL BASE BID (ALL PVC) 53,717,033.00 B. TOTAL BID W/ ALT. Da. (LARGE DIP, SMALL PVC) 53,613,663.00 C. TOTAL BID W/ ALT. Db. (LARGE PVC, SMALL DIP) 53,619,150.50 D. TOTAL BID W/ ALT. Da. & Db. (ALL DIP) $3,515,780.50 II. DUCTILE IRON PIPE PENELTY iJ 50.10 PER LINEAR FOOT PER INCH DIAMETER (REFERENCE "COMPUTATION OF REPAIR COST FACTOR FOR DUCTILE IRON PIPE FOR BID COMPARISONS, BY EH&A, APRIL 1988). A. LARGE DIAMETER DIP (20" & 24") 1. 24-INCH: (25,900 + 300 LF)(.10)(24) 562,880.00 2. 20-INCH: (9,200 + 240 LF)(.10)(20> 518,880.00 TOTAL PENALTY (ADD) 581,760.00 B. SMALL DIAMETER DIP (6" THROUGH 16") 1. 16-INCH: (11,900 + 870 LF)(.10)(76) 520,432.00 2. 12-INCH: (8,600 + 920 LF)(.10)(12) 511,424.00 3. 10-INCH: (6,900 + 360 LF)(.10)(10) 57,260.00 4. 8-INCH: (15,075 + 895 LF)(.10)(8> 512,776.00 5. b-INCH: (7,550 + 750 LF)(.10)(6) 54,980.00 TOTAL PENALTY (ADD) 556,872.00 III. SLEEVE REDUCTION FOR DUCTILE IRON PIPE A. LARGE DIAMETER DIP 1. PIPE SLEEVE FOR 24" CARRIER PIPE L.F. 330 590.00 529,700.00 2. PIPE SLEEVE FOR 20" CARRIER PIPE L.F. 0 581.00 50.00 1171AL KtUULIIUK LNKgC U1M. U1P aLY,ivu.~~ B. SMALL DIAMETER D1P 1. PIPE SLEEVE FOR 16" CARRIER PIPE L.F. 0 566.00 50.00 2. PIPE SLEEVE FOR 12" CARRIER PIPE L.F. 10 550.00 5500.00 3. PIPE SLEEVE FOR 10" CARRIER PIPE L.F. 30 545.00 51,350.00 4. PIPE SLEEVE FOR 8" CARRIER PIPE L.F. 56 543.00 $2,408.00 5. PIPE SLEEVE FOR b" CARRIER PIPE L.F. 20 541.00 5820.00 TOTAL REDUCTION SMALL DIA. DIP 55,078.00 IV. ADJUSTED BID PRICES A. TOTAL BASE BID (ALL PVC) 53,717,033.00 B. TOTAL BID W/ ALT. Da. (LARGE DIP, SMALL PVC) 53,665,723.00 C. TOTAL B1D W/ ALT. Db. (LARGE PVC, SMALL DIP) 53,670,944.50 D. TOTAL BID W/ ALT. Da. & Db. (ALL DIP) 53,619,634.50 CONCLUSION: SYSTEM WITH ALL DUCTILE IRON PIPE STILL NAS LOWEST OVERALL COST EVEN WITH ADDITIONAL CALCULATED LIFE CYCLE COST OF FERROUS PIPE ADDED TO BID PRICE. RECOMMENDATION: USE ALL DUCTILE IRON PIPE. RESOLUTION NO. 89-2 A RESOLUTION CONSENTING TO ENTRY INTO A CONTRACT BETWEEN THE LA PORTE AREA WATER AUTHORITY AND MERCER CONSTRUCTION COMPANY, INC.; PROVIDING FOR A SEVERABILITY CLAUSE; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. WHEREAS, the Board of Directors of the La Porte Area Water Authority (the "Authority"), by action taken at duly called meeting of the Authority held on Tuesday, February 7, 1989, awarded a bid for the construction of surface water transmission and distribution facilities to Mercer Constsruction Company, Inc. in the amount of Three Million Five Hundred Fifteen Thousand Seven Hundred Eighty and 50/100 Dollars ($3,515,780.50); and WHEREAS, in order to facilitate commencement of work by Mercer Construction Company, Inc. on said project, it is necessary for the Authority to enter into a contract with Mercer Construction Company, Inc. in accordance with the bid specifications; and WHEREAS, Section 5(e), of Chapter 729, Pages 2678 et seq, Acts of 67th Legislature of the State of Texas, Regular Session, 1981 (hereinafter referred to as the "Authority Act") requires that the City Council of the City of La Porte authorize and approve all contracts entered into by the La Porte Area Water Authority, except for contracts entered into by and between the Authority and the City of La Porte; and WHEREAS, it is desirable for the La Porte Area Water Authority to enter into said contract with Mercer Construction Company, Inc., and it is appropriate for the City of La Porte to approve said contract; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section 1. That the City of La Porte hereby consents, pursuant to Section 5(e) of the Authority Act, to the contract attached to this resolution by and between the La Porte Area Water Authority and Mercer Construction Company, Inc. as Exhibit "A", incorporated herein as if set forth verbatim, and the City Council of the City of La Porte hereby authorizes the president and secretary to sign and attest said contract in their respective capacities. RESOLUTION N0. 89-2 Page 2 Section 2. That if any section, sentence, phrase, clause, or any part of any section, sentence, phrase, or clause, of this resolution shall, for any reason, be held invalid, such invalidity shall not affect the remaining portions of the resolution, and it is hereby declared to be the intention of this City Council to have passed each section, sentence, phrase or clause, or part thereof, irrespective of the fact that any other section, sentence, phrase or clause, or part thereof, may be declared invalid. Section 3. The City Council officially finds, determines, recites and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City of La Porte, Texas for the time required by law preceding this meeting, as required by the Open Meetings Law, Article 6252-17, Texas Revised Civil Statutes Annotated; and that this meeting has been open to the public as required by law at all times during which this resolution and the subject matter thereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. Section 4. This Resolution shall be in effect from and after its passage and approval. PASSED AND APPROVED this the day of CITY OF LA PORTE 1989. By: Norman L. Malone Mayor ATTEST: Cherie Black City Secretary REQUE~ FOR CITY COUNCIL AGENDA Agenda Date Requested: FEBRUARY 13, 1989 Requested By: L. RIGBY Report Department: Resolution PURCHASING Exhibits: INTERLOCAL AGREEMENT SUMMARY & RECOMMENDATION Ordinance City Council approved an interlocal agreement with the Houston-Galveston Area Council on January 9, 1989. Although this was a blanket agreement, it does not cover vehicle purchases. A separate interlocal agreement will need to be approved to validate the ambulance purchase also approved on January 9. HGAC has assured me the order has been placed and this will not delay delivery. Action Required by Council: Approve interlocal agreement with HGAC for vehicle purchase. Availability of Funds: General Fund Water/Wastewater Capital Improvement General Revenue Sharing Other (Motor Pool Replacement Fund) Account Number: Approved for City Council Agenda rt T. Herrera City Manager Funds Available: YES NO ~ ~ DA E • CITY-VE H V. The City agrees that Manufacturer's Statement of Origin (title) will be endorsed by the vendor directly to the City at the time of receipt and acceptance of the vehicle(s). Further the City accepts responsibility for vehicle registration and transfer. This agreement, (inclusive of the attached Exhibit "A") constitutes the entire agreement between the parties hereto relating to the rights herein granted and the obligations herein assumed. The later date of execution by the of the City, or the (Official) Executive Director .of the Council hereinbelow shall constitute the date of execution hereof. IN WITNESS HEREOF this instrument, in duplicate originals, has been executed by the parties hereto as follows: a. It has on the day of 19 8~, been executed by the of the City, on behalf of the City, pursuant to ayor, i y hanager •- an of the•City (attached or finance, reso u ion or purc ase or er (hereto) so authorizing. b. It has on the day of 1989, been executed by the Executive Director of the Council on beha f of the Council pursuant to an order of the Board of Directors of the Council so authorizing. CITY OF HOUSTON-GALVESTON AREA COUNCI L BY Mayor or City Manager ATTEST BY JACK STEEL E, EXECUTIVE DIRECTOR ". ATTES T 5/23/88---105J REQU~ FOR CITY COUNCIL AGENDA ~M Agenda Date Requested: February 13, 1989 Requested By: Louis Rigby Department: Purchasing Report Resolution Ordinance Exhibits: SUMMARY & RECOMMENDATION Advertised sealed bids 40307 for water and sewer supplies kept in warehouse inventory were opened and read on February 6, 1989. Three suppliers submitted bids and all low bids met specifications. Staff recommends awarding Sections A, C, and D in the amount of $35,793.73 to Golden Triangle Pipe and Sections B and E in the amount of $10,226.28 to The Rohan Company. Action Required by Council: Approve awarding contract to low bidders Availability of Funds: X General Fund Water/Wastewater Capital Improvement General Revenue Sharing Other Account Number: 001-607-607-115 Funds Available: X YES NO Approved for Cit Council A enda R t T. Herrera DA i y h9anager •~ ~ ~• ~ • CITY OF LA PORTE • INTER-OFFICE MEMORANDUM FEBRUARY 7, 1989 T0: Jeff Litchfield, Director of Finance FROM: Louis Rigby, Purchasing Manager SUBJECT: Sealed Bid ~~0307 - Water and Sewer Supplies Advertised, sealed bids ~~0307 for water and sewer supplies were opened and read on February 6, 1989. Bid requests were mailed to five suppliers with the following three returning bids: 1) Golden Triangle Pipe, 2) The Rohan Company, and 3) Aqua Utility Supply. Bidders were asked to submit pricing on various water and sewer supplies kept in warehouse inventory. Low bids, by section, using yearly estimates, are as follows: A. Brass and Bronze B. Tapping Saddles C. Clamps & Couplings D. Rubber Adaptors E. PVC Products Golden Triangle Pipe Rohan Golden Triangle Pipe Golden Triangle Pipe Rohan - $21,959.55 - 3,516.54 - 10,969.51 - 2,864.67 - 6 , 709.74 Total $46,020.01 I will submit an agenda request form to the City Secretary and take this item before council on February 13, 1989. LR/gr Attachment: Bid Tabulation xc: John Joerns, w/ attachment SEALED BID X0307 WATER & SEWER SUPPLIES GOLDEN ROHAN TRIANGLE • AQUA UTILITY SUPPLY A. BRASS AND BRONZE 21,959.55 23,018.82 22,232.26 B. TAPPING SADDLES 3,726.88 3,516.54 3,809.68 C. CLAMPS AND COUPLINGS 10,969.51 11,397.38 12,832.58 D. RUBBER ADAPTORS 2,864:67 4,175.12 3,754.14 E. PVC PRODUCTS 7,713.52 6,709.74 6,7.98.32